Irish software group Parthus Technologies took the sell-off of technology shares in London and on the Nasdaq in its stride yesterday, with the shares soaring 66 per cent from the placing price of 85p sterling to close on £1.49 sterling (€2.48).
In grey market trading on Nasdaq, the ADRs - comprising 10 ordinary shares - jumped from the $12.60 placing price to trade above $20. At the closing price in London, Parthus had a market capitalisation of £765 million sterling, just over £1 billion.
The 130 million shares sold in the initial public offering (IPO) - 111.3 million new shares and 18.7 million being sold by Parthus directors - were more than 20 times oversubscribed, according to sources close to the company. It is understood the IPO was split roughly 60-40 between European and US investors.
Parthus chief executive Mr Brian Long sold just over 13 million shares into the IPO, netting himself over £11 million sterling. But Mr Long has retained a 23.4 per cent stake in Parthus, which is worth £176 million sterling at the London closing price. Enterprise Ireland's 8 per cent stake is worth £80 million at the London close.
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