Chinese online game developer Perfect World (PWRD) has thrown its hat into the ring and started trading shares on Nasdaq yesterday.
It priced its initial public offering of 11.8 million American Depositary Shares at US$16 per ADS. Prices on the first day surged as much as 30% and the comany wants to use the money to expand research and development.
The offering comprised an initial public offering of 9 million ADSs by Perfect World and an additional offering of 2.8 million ADSs by certain shareholders of Perfect World disclosed in the prospectus. The underwriters have an option, exercisable for 30 days from the date of the prospectus, to purchase up to an additional 1.77 million ADSs from certain existing shareholders of Perfect World at the initial public offering price less the underwriting discounts and commissions to cover over-allotments of the ADSs.
Morgan Stanley and Credit Suisse acted as joint book runners for this offering.
