Shares of Realogy Holdings Corp. (Nasdaq: RLGY) vaulted nearly 30 percent after its $1.09 billion initial public offering was priced late Wednesday.
In midday Thursday trading, Realogy shares were at $33.51, after opening at $32.85. They were priced at $27 by underwriters Goldman Sachs (NYSE: GS) and JPMorgan Chase (NYSE: JPM).
Real estate signs are seen in the front yards of houses in this file photo taken in Maricopa, Arizona in this May 27, 2009 file photo.
The Parsipanny, N.J.-based company is the No. 1 company in real estate services revenue. It was acquired by Leon Black’s Apollo Global Management (NYSE: APO) in an $8.5 billion private equity buyout.
Apollo will retain about 50 percent of Realogy, for now. Paulson & Co., a major hedge fund, will retain a 10 percent share, down from 15 percent before the IPO.
The company reported its second-quarter net loss widened 9 percent to $24 million, although revenue rose 11 percent to $1.3 billion a year ago.
The response may indicate investors believe the U.S. housing recession is easing. It may also be a harbinger of the expected IPO on Friday of Workday, the Pleasanton, Calif., human resources software company founded by the former bosses of PeopleSoft, which was acquired by Oracle (Nasdaq: ORCL), the No. 1 database developer.
To contact the editor, e-mail:
Most Popular Slideshows
- Mars Curiosity Rover Photos: UFO Hunter Spots Strange 'Ruins,' 'Missile' [PHOTOS, VIDEO]
- Miranda Kerr Exposes Breasts to Crew, Wardrobe Malfunction 'Deliberate Accident?' [PHOTOS]
- How Brad Pitt Avoids Sex Even in Film Scenes After Finding Love in Angelina Jolie [PHOTOS]
- Selena Gomez Spotted with Jaden Smith [PHOTOS]