Arista Networks Inc (ANET) gains in IPO debut after raising $226 million
Cloud networking applications company Arista Networks Inc (NYSE:ANET) has gained in its IPO debut after raising $226 million. The stock jumped 32% to $56.74 at 9:55AM in New York, according to Bloomberg. Arista sold 5.25 million shares at $43 each, which is above the marketed range of $36-$40.
Arista sells high-performance switches that carry data traffic. One of Arista’s largest competitors is Cisco Systems. Arista is currently profitable and posted revenue growth of 87% last year to $361.2 million. The net income of the company nearly doubled to 2013 to $42.5 million.
Arista has been able to win business from Internet companies that need powerful hardware to run large data centers. This market is expected to double to $12 billion by 2017.
Morgan Stanley and Citigroup managed the offering. The stock is listed on the NYSE under the symbol ANET.