Digital textiles printing solutions company Kornit Digital(Nasdaq:KRNT completed its Nasdaq IPO on Thursday. The Rosh Ha'ayin based company was forced to cut its offering to $10 per share after planning an IPO in the $13-15 range, thus raising only $71 million, ($63.5 million net). If the underwriters take up their options, this figure will rise to $73.4 million.
However, the company's share price soared 40% on its first day trading to $14, meaning that in effect the money raised reached the planned $100 million, giving a company value of $402 million, after money.
Barclays Capital Inc. and Citigroup Global Markets Inc. acted as joint book-running managers and as representatives of the underwriters in the offering. William Blair & Company, L.L.C., Stifel, Nicolaus & Company, Incorporated, Canaccord Genuity Inc. and Needham & Company, LLC acted as co-managers in the offering.
Fortissimo Capital owned 69.6% of Kornit before the IPO and saw its holding diluted to 52.4%. This dilution will decrease to 50.5% if the underwriters take up their options.
Kornit's solution includes its proprietary digital printing systems, ink and other consumables, associated software and value added services. Kornit's vision is to revolutionize the textile industry by facilitating the transition from analog processes that have not evolved for decades to digital methods of production that address contemporary supply, demand and environmental dynamics. Kornit is a global company headquartered in Israel but with US offices in Mequon, Wisconsin and additional sales, support and marketing offices in Germany and Hong Kong.
Published by Globes [online], Israel business news - www.globes-online.com - on April 5, 2015
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