Seagate IPO Raises Big Bucks

In an Initial Public Offering (IPO) on Tuesday, Seagate Technology Holdings raised $870 million on Tuesday, December 10th. Seagate, the largest manufacturer of computer hard disk drives, cut the price of its offered shares to attract investors from the initial proposed asking price of $13-$15 per share to $12 per share. Seagate sold a total of 72.5 million shares in the IPO; 24 million were sold by Seagate for $288 million (before expenses), with the rest of the 48.5 million sold by investors who had previously invested $1.7 billion to take Seagate private just before the beginning of the technology industry's roller coaster ride. The IPO makes Seagate currently valued at $5.1 billion. Seagate's IPO is the largest technology company stock offering since July 2001, when Accenture closed a $1.9 billion sale of its stock. Seagate Technology Holdings' stock began trading on Wednesday, December 11th on the NYSE under the ticker symbol "STX." In the first day of trading on Wednesday, Seagate's shares fell to $11.25 after the New York Stock Exchange opened this morning, and closed down $.50, at $11.50 at the market's close.