Shares of Financial Engines rose as much as 44.7% on its first day of trading today.
At one point, the share price climbed as high as $17.36 before closing at $17.25, up 43.8%.
The IPO was priced at $12 a share after markets had closed March 15, better than the underwriters' suggested range of $9 to $11 a share. The stock is traded on Nasdaq under the symbol FNGN.
The company sold 5.87 million shares and will use the proceeds for “general corporate purposes,” according to a recent filing with the SEC. At $12 a share, the company will receive about $70.4 million, excluding transaction costs and fees.
Existing shareholders sold 4.73 million shares, but the company won't get any of the proceeds from their sales.
Financial Engines, which provides managed accounts and online retirement investment advice, is the first U.S. IPO this year to be priced above underwriters' suggested price. Of 18 other IPOs that have come to market this year, 11 were priced below the suggested price range and the other seven were within the suggested price range, according to data from Renaissance Capital, an IPO research firm.
(Click here to view Financial Engines' SEC filing.)