Trulia says IPO underwriters fully exercise option
SAN FRANCISCO (AP) — Real estate website operator Trulia, which climbed a hefty 41 percent in its public debut, says that the underwriters of its initial public stock offering have fully exercised their option to buy more shares at the IPO price.
The San Francisco company said Friday that the underwriters had an option to buy up to an additional 900,000 shares at the offering price of $17 per share to cover any excess demand.
In their first day of trading on Thursday, Trulia shares rose $7 to close at $24 per share, marking the 10th biggest gain in a trading debut this year.
Trulia Inc. says that since the underwriters' option was fully exercised, the IPO's size is 6.9 million shares. This includes 5.9 million shares to be sold by the company and 1 million shares to be sold by certain stockholders who chose to sell.
Trulia operates the website Trulia.com and mobile apps. It allows people to research home listings and neighborhoods, while helping real estate agents market their listings. Its database includes 4.5 million homes for sale and rent.
The company trades under the "TRLA" ticker symbol on the New York Stock Exchange.
Its shares gained another 53 cents, or 2.2 percent, to $24.53 in morning trading Friday after rising as high as $26.57 earlier in the session.