RealTime IT News

Plumtree Software Raises $42.5M in IPO

San Francisco's Plumtree Software , a fixture on the corporate portal applications scene, went public Tuesday, raising $42.5 million on 5 million shares priced at $8.50 each.

Plumtree's software bundles applications and online services into a corporate portal, giving Web users a central source for information. Goldman, Sachs & Co., JPMorgan and RBC Dain Rauscher Inc., a member of RBC Capital Markets, are Plumtree's underwriters. Plumtree has granted the underwriters an option to purchase up to 750,000 additional shares of stock to cover over-allotments.

With the news, Plumtree became the third tech concern to file an IPO in three weeks after just one (Loudcloud ) was filed in the bear-market year of 2001. Plumtree may be a bit of an aberration because it is enterprise- and software-geared, while the others provide products and/or services to consumers.

Netflix , which rents DVDs to consumers over the Internet, went public May 23, offering 5.5 million shares at $15 each to raise $83 million. Online liquidator Overstock.com filed May 30, raising $39 million at $13 per share for $3 million shares.

Those firms join the popular PayPal online payment service as firms to file in 2002, pegged by many market analysts as a recovery year on the tech arena.

PayPal has been the real success story thus far: it went public at $13 per share and is trading at $26.95 as of this writing. Online travel specialist Orbitz is expected to go public as well this year.

Plumtree was trading at $8.55 by mid-afternoon.