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Summary:

Motricity ended up pricing its initial public offering at $10 a share, instead of the $14 to $16 it hoped to get just 16 days ago — but its…

Motricity

Motricity ended up pricing its initial public offering at $10 a share, instead of the $14 to $16 it hoped to get just 16 days ago — but its stock nevertheless dropped 7 percent on its first day of trading on the Nasdaq, closing at $9.26. (By contrast, the Nasdaq stock market increased 0.11 percent today).

At $10 per share, Motricity raised about $60 million in its IPO. That has to be a disappointment to Motricity executives considering they said they hoped to raise up to $250 million when the company filed for its IPO in January. Nevertheless, the company did go public, something it had been promising it would do since 2004. Many other companies in our realm that have filed to go public in recent months — Reply.com, Eyeblaster, Everyday Health, to name a few — seem to be waiting for market conditions to improve.

  1. about time ryan tasted some Monday, June 21, 2010

    and Icahn had to agree to purchase what a millon + shares just so the IPO would happen? Hey Ryan; hear that? It is karma calling…

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  2. This stock, like the company, is absolute garbage. You’d have be nuts to buy into a company which has gone through as many rounds of financing as these guys, has changed direction a dozen times, and is still making barely any money selling outdated, irrelevant technology.

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  3. You say “barely making any money”. They’re NOT making ANY money. They NEVER have made any money. They’ve LOST about $500 million cumulatively.

    The poster mentioning “karma”, how is this karma for RW? It just helps finance his extravagant lifestyle and mismanagement another year or two: foisting megamansion losses on investors, foolish acquisitions, ridiculous expense accounts… Icahn’s just his rich uncle.

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  4. about time ryan tasted some Friday, July 2, 2010

    Seems Karma has gone from knocking on Wuerchs door to kicking it in; down to around $8.4 a share now…

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  5. The stock is tanking. Common stock options for employees are priced at $12 and change, this was post reverse split. Old options had a strike price of $.81 to a valuation of $1.35 or so. Must be a lot of pissed employees considering the strike price is exactly 15 times what the original one was, but the CS IPO price indicating total valuation was $10 or so. So why would the the common shares increase in the reverse split 750% but the options price would increase 1500%? Seems like this was totally rushed

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  6. about time ryan tasted some Friday, July 9, 2010

    Hey Wow.. Maybe it was due to King Wuerch got a bonus if it went public before a certain date?

    Not bad for him; he just got a $75,000 year raise too!

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  7. We invested before IPO not know about the 15 to 1 split (I expect folks to be honest) and now are shocked beyond anger. Simply put we were lied to by Motricity–who ever they are? This is why our economy is in such straits! Greed and lies!

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