Jittery market gives cool welcome to QuinStreet in IPO debut, a troubling sign for IPOs
By APThursday, February 11, 2010
Jittery market gives cool welcome to QuinStreet
NEW YORK — In a worrisome sign for initial public offerings, investors are giving QuinStreet a tepid reception.
The Foster City, Calif. company, which competes with Google and Yahoo to sell pay-per-click online advertising, expected to price 10 million shares between $17 and $19 each but settled for $15, resulting in proceeds of about $140 million after expenses.
QuinStreet Corp. has more than doubled its sales since 2005. Analysts expect growth to continue.
The company stepped into an uneven market, though. Stocks were trading in a tight range Thursday. European officials were giving few details on the effort to solve Greece’s debt problems. And investors shrugged off a Labor Department report showing first-time jobless claims fell more than expected last week.
