Pivotal Software, the US-based software development services provider spun out of software producer EMC, closed its initial public offering at just over $638m yesterday, after the underwriters bought 5.5 million additional shares.
The IPO initially consisted of 33.1 million shares priced at $15 each last week, in addition to almost 3.9 million shares sold by industrial technology and appliance manufacturer General Electric (GE).
Spun out of EMC, which was renamed Dell EMC when acquired by computing technology producer Dell in 2016, Pivotal supplies software development technology as well as expertise to clients looking to create customised applications.
Pivotal floated on the New York Stock Exchange on Friday last week and its shares closed at $18.14 yesterday, giving it a market capitalisation of $4.54bn.
Dell EMC is the company’s largest shareholder, while notable investors include EMC subsidiary VMware, automotive manufacturer Ford, GE and private equity firm Silver Lake.
Morgan Stanley, Goldman Sachs, Citigroup, BofA Merrill Lynch, Barclays, Credit Suisse, RBC Capital Markets, UBS Investment Bank, Wells Fargo Securities, KeyBanc Capital Markets, William Blair, Mischler Financial Group, Ramirez & Co, Siebert Cisneros Shank & Co, Williams Capital Group were the IPO’s underwriters.