The share jumped 50% on the first day of trading, to $115 million
company value. Formula recorded NIS 27 million in capital gains.
Crystal Software Solutions completed a $3.15 million share issue on Thursday in New York. The price reflects a company value of $75 million. Crystal reported $4 million in 1996 sales and a $750,000 net loss.
However, the IPO was only the beginning of upheavals in the share. The first transactions were made at $14 or 86% above the issue price. As the hours passed, the price declined and Crystal closed at $11.25, reflecting $114 million company value.
Although $11.25 was the lowest price that day, it nonetheless reflects a 50% rise compared with the issue price.
Crystal Solutions’ parent company the Formula group recorded NIS 27 in capital gains on the IPO.