Mobile content firm Jamdat Mobile has had a hugely successful IPO on the NASDAQ exchange, raising approximately $61 million as its shares rose by over 40 per cent from their initial price point.
Shares in the company closed at $22.51, up from the initial offer price of $16 per share, and well ahead of its preliminary flotation projections of 5.3 million shares at $13 to $15 per share.
The firm ended up issuing additional shares after demand proved much higher than anticipated, and over seven million shares are reported to have been traded in activity on the stock yesterday.
The success of Jamdat's flotation will have been watched carefully by other players in the market, as the firm is the first mobile content company to brave the stock exchange - where game stocks are traditionally undervalued, and tech stocks, especially new media type firms, are still considered with a degree of suspicion by investors.
Jamdat had its first profitable quarter in the three months leading up to March this year, after posting almost four years of consecutive losses, and the firm, which provides a range of mobile content, has had commercial success with titles including its own franchises (such as Jamdat Bowling or the Jamdat Sports range) and major gaming licenses including Neverwinter Nights.