MobileIron, a US-based developer of mobile device management software, went public yesterday in a $100m initial public offering on Nasdaq, selling 11.1 million shares priced at $9 each.
Founded in 2007, MobileIron is the creator of a mobile IT platform that businesses can use to secure and manage mobile apps, content and devices. It made a $32.5m loss in 2013 from revenues of $105.6m, and although its earnings are rising sharply it is yet to make a profit.
The company had raised about $156m from Wells Fargo-backed venture capital firm Norwest Venture Partners, as well as fellow VC firms Sequoia Capital, Storm Ventures, Big Basin Partners, Toba Capital, Foundation Capital and Institutional Venture Partners.
Norwest remains MobileIron’s second largest shareholder despite seeing its stake diluted from 19.4% to 16.5% through the offering. The stake belonging to the company’s largest shareholder, Storm Ventures, dropped from 20% to 17.1%, while other notable shareholders post-IPO are Sequoia Capital(14.3%) and Foundation Capital (7.2%).
Morgan Stanley and Goldman Sachs are acting as the offering’s lead joint book-running managers, while Deutsche Bank Securities and Barclays Capital are serving as book-running managers. Raymond James & Associates, Stifel, Nicolaus & Company, Nomura Securities International and Blackstone Advisory Partners are co-managers.
The underwriters have the 30-day option to purchase a further $15m in shares, which would bring the IPO up to $115m. MobileIron’s stock rose about 22% on its first day of trading to finish at $11.02.