Box Opens Trading Well Above IPO Price of $14 a Share

By Corrie Driebusch 

Shares of online-storage company Box Inc. opened at $20.20, 44% above their initial public offering price Friday.

The stock recently traded at $21.10 on the New York Stock Exchange, above where the stock opened.

Box's IPO sold 12.5 million shares at $14, above expectations. The company had been looking to sell shares in the $11 to $13 price range.

Friday's stock-market debut comes roughly 10 months after the company publicly filed for an IPO. Those plans were postponed amid tepid demand for cloud-computing stocks, and in the ensuing months it turned to the private market to raise additional funding.

The pricing pegged Box's market capitalization at roughly $1.6 billion and raised $175 million in proceeds that will help the company support a high-cost business model dependent on sales and marketing.

The deal was led by Morgan Stanley, Credit Suisse and J.P. Morgan.

Write to Corrie Driebusch at [e-mail]

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