When DoubleClick Inc., New York, announced an initial public offering of 3.5 million shares of its common stock on Feb. 20, its stock jumped more than 80 percent by the end of the day.
Initially, DoubleClick, which was launched two years ago, said shares were going to be sold at $17 each. When the market opened, they already were at $29 on NASDAQ, and before trading stopped that afternoon, investors were paying close to $32 a share before it closed at $26.75 a share. The 3.5 million shares represent nearly a 20 percent stake in the company.
That day's activity helped make DoubleClick's market capitalization value nearly $430 million. DoubleClick is planning to use the net proceeds for general corporate purposes such as working capital, as well as for the expansion of its international operations and sales marketing capabilities.
DoubleClick provides Internet advertising solutions for Web advertisers and publishers.