Netsuite Hopes for $99M in IPO

Ellison has moved decisively to silence conflict-of-interest criticisms
By Nick McMaster,  Newser Staff
Posted Dec 6, 2007 5:46 PM CST
Oracle CEO Larry Ellison smiles during his keynote address at Oracle Open World conference in San Francisco, in this Oct. 25, 2006 file photo. NetSuite Inc., an online software service controlled by Ellision,...   (Associated Press)
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(Newser) – The IPO for Oracle CEO Larry Ellison’s ‘software-as-a-service’ company, Netsuite, is gearing up as the company set an initial price range yesterday of $13 to $16 a share for 6.2 million shares planned for release, reports, a 10% stake. Netsuite hopes to raise $99.2 million in the IPO, which is planned for December 21st, giving it a valuation of close to $1 billion.

Tech firm IPOs have had a good year, with VMware and Alibaba enjoying first-day share price doublings or triplings on the US and domestic scenes. Nonetheless, July revelations that Ellison owned a 74% stake in Netsuite could’ve jinxed the firm’s offering, but he responded in October by transferring his stake into a “lock box,” relinquishing the control associated with his majority shareholding.