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Shares of Dolby Labs’ February IPO jumped to $25.40 its first day on Wall Street - raising an estimated $495 million from 27.5 million shares offered at $18 apiece.
Demand from investors was strong and the $18 price tag was up from the initial offer price of $13.50 and $15.50. Ray Dolby - who set the firm up after getting a PhD in physics from Cambridge University - still owns a 70 percent stake, now worth more than $1.7 billion. Despite a sagging pro audio market, strong demand for home cinema and DVD systems helped boost company profits.
For more information, visit www.dolby.com.
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