NEW YORK (CNNfn) - Internet storage company Network Engines priced at the top of its initial public offering range Wednesday, in hopes its high-density servers will attract investor interest in what has been a listless IPO week.|
Network Engines raised $110.5 million, pricing 6.5 million shares at $17. Earlier Wednesday, the company boosted its range to $16 to $17 from $13 to $15 and also upped the number of shares to 6.5 million from 5.5 million.
The Canton, Mass.-based company was tipped by analysts to be a strong performer. According to IPOfinancial.com President David Menlow, the company's 375 percent growth curve is compelling and its rate of loss will probably diminish.
In 1999 Network Engines had revenue of more than $6 million and lost just over $5.8 million. The company will trade on the Nasdaq as "NENG" and the lead manager for the deal is Donaldson, Lufkin & Jenrette.
San Jose, Calif.-based Sunrise Telecom was also confident, pricing above its range and raising $60 million. The company, which makes network test equipment for DSLs, or digital subscriber lines, priced 4 million shares at $15, the high end of its expected range of $13-15.
Sunrise Telecom has a strong position in the fast-growing DSL market and posted a profit in each of the last five years.
"They're a young group and they're getting it done the right way," Menlow said.
Sunrise, led by Chase H&Q, will trade on the Nasdaq as "SRTI."