When a company has an original public offering, Wall Street tends to view very carefully. Three very different inital public offerings today have gone well. First Interstate BancSystem, MaxLinear, and Calix Networks all outperformed expectations. Calix and MaxLinear are both companies focused on internet infrastructure and are doing very well on the talk of the National Broadband Plan. First Interstate is a bank that is using the instant cash of an IPO to improve on their already-strong network.
Internet infrastructure by Calix
Situated in Petaluma, California, Calix Networks started trading on the NASDAQ exchange today under the ticker symbol CALX. Calix specializes in designing and manufacturing equipment for fiber-based networks, including telephone, television and internet. CentryTel is one of Calix’s largest customers, and Calix is banking on the National Broadband Plan in advance to bring in even more customers. Calix’s initial $200 million start-up expense was funded by both private equity firms and venture capital investors. While Calix had assumed an IPO stock price of about $13, shares are currently trading for about $16. Most industry watchers are estimating that Calix will continue to improve its stock price as broadband becomes even additional important to national infrastructure.
Maxlinear produces power-saving chips
Carlsbad, California based MaxLinear also had their IPO today peform well. MaxLinear shares, on the NYSE as MXL, were trading for about $18 a share at last check. Numerous mobile devices have the processing chips that MaxLinear designs and manufactures. The battery life of several small devices can be extended with MaxLinear’s low-power chips. Like Calix, MaxLinear raised original start-up costs through quick payday loans from venture capital firms. One of the most hotly anticipated IPOs of the day, MaxLinear stocks quickly passed the $13 per stock estimates. The chips that MaxLinear designs are used in a wide variety of consumer electronics.
Strong western banking at First Interstate
As an antidote to the high-technology Calix and MaxLinear first public offerings today, the NASDAQ also saw the IPO of a regional bank. Based in the Western U.S., First Interstate BancSystem has branches in Montana, Wyoming, and South Dakota. The first U.S. bank to go public since July of 2007, First Interstate’s stock price went from $14.50 a share to $16 in morning trading. With the NASDAQ symbol FIBK, First Interstate Bank was able to show improved net interest income and total assets at a time when many banks were closing operations.
Sources:
The Associated Press
Wall Street Journal
Red Herring
24/7 Wall Street
