By James Rogers 09/25/09 - 12:22 PM EDT
http://www.thestreet.com/_yahoo/story/10603616/1/shanda-baffles-with-lackluster-ipo.html?cm_ven=YAHOO&cm_cat=FREE&cm_ite=NA
SHANGHAI (TheStreet) -- Despite high expectations, shares of online gaming giant Shanda Games (GAME) fell in initial trading Friday, as investors gave a lukewarm reception to the year's largest IPO.
Within 25 minutes of their opening, the shares were down 79 cents, or 6.32%, at $11.71, far outstripping the modest decline in tech stocks that saw the Nasdaq slip 0.47%. The Shanghai-based firm priced its $1.04 billion offering at $12.50 a share, the high end of its projected range Thursday, the same day that battery maker A123 Systems (AONE) launched a highly successful IPO.
With the IPO market rebounding, Shanda raised the number of shares on offer by about 20 million to 83.5 million Thursday. The spin-off of Shanda Interactive Entertainment(SNDA Quote) is not the first Chinese game maker to take the public plunge. It follows Changyou.com's(CYOU Quote) April IPO.
Changyou.com shares have risen more than 100% since their debut, although there is a feeling that Shanda's IPO signals a top in Chinese gaming stocks.
Shanda's failure to catch the same wave as Changyou.com and A123 Systems left at least one IPO expert stunned.
"This is a complete shock," said Scott Sweet, senior managing partner of IPOBoutique.com. "This had more international demand than A123."
In the busiest week for IPOs since 2007, Sweet feels that Shanda's decision to significantly increase the number of shares on offer may have backfired.
"The increase in the size of this did not work well," he told TheStreet. "It seems to be that the amount of shares was too much for the market to absorb in a record week for IPOs."
"It was the best of times, it was the worst of times; it was the age of wisdom, it was the age of foolishness;
-- Charles Dickens
Recent SNDA News
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/23/2024 01:15:04 PM
- Form S-3 - Registration statement under Securities Act of 1933 • Edgar (US Regulatory) • 07/19/2024 07:31:32 PM
- Sonida Provides Recent Capital Allocation Updates • Business Wire • 07/02/2024 12:30:00 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 06/14/2024 05:07:54 PM
- Form 3 - Initial statement of beneficial ownership of securities • Edgar (US Regulatory) • 06/10/2024 08:01:01 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 06/07/2024 05:23:00 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 06/06/2024 08:26:04 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 06/06/2024 08:23:51 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 06/06/2024 01:15:09 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 06/06/2024 01:15:08 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 06/06/2024 01:15:06 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 06/06/2024 01:15:05 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 06/06/2024 01:15:03 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 06/03/2024 09:21:46 PM
- Form DEFA14A - Additional definitive proxy soliciting materials and Rule 14(a)(12) material • Edgar (US Regulatory) • 06/03/2024 06:41:55 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 06/03/2024 06:32:32 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/15/2024 04:54:27 PM
- Form DEFA14A - Additional definitive proxy soliciting materials and Rule 14(a)(12) material • Edgar (US Regulatory) • 05/13/2024 07:05:27 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 05/13/2024 07:03:02 PM
- Sonida Enhances Executive Team and Board to Support Company Growth • Business Wire • 05/10/2024 08:06:00 PM
- Form 10-Q - Quarterly report [Sections 13 or 15(d)] • Edgar (US Regulatory) • 05/10/2024 04:56:43 PM
- Sonida Enhances Executive Team and Board to Support Company Growth • Business Wire • 05/10/2024 09:30:00 AM
- Sonida Senior Living Announces First Quarter 2024 Results • Business Wire • 05/10/2024 09:00:00 AM
- Form SC 13D/A - General statement of acquisition of beneficial ownership: [Amend] • Edgar (US Regulatory) • 05/09/2024 05:31:41 PM
Greenlite Ventures Completes Agreement with No Limit Technology • GRNL • Jul 19, 2024 10:00 AM
VAYK Expects Revenue from First Airbnb Property Starting from August • VAYK • Jul 18, 2024 9:00 AM
North Bay Resources Acquires Mt. Vernon Gold Mine, Sierra County, California, with Assays up to 4.8 oz. Au per Ton • NBRI • Jul 18, 2024 9:00 AM
Nightfood Holdings Signs Letter of Intent for All-Stock Acquisition of CarryOutSupplies.com • NGTF • Jul 17, 2024 1:00 PM
Kona Gold Beverages Reaches Out to Largest Debt Holder for Debt Purchase Negotiation • KGKG • Jul 17, 2024 9:00 AM
Avant Technologies Welcomes Back Former CEO with Eye Toward Future Growth and Expansion • AVAI • Jul 17, 2024 8:00 AM