After delaying its initial public offering for nearly two weeks and cutting its offer price, Thousand-Oaks based Ceres Inc. went public Wednesday and saw its stock price rise nearly 14 percent.
The agricultural biotech company--trading on the NASDAQ under the symbol CERE--offered 5 million shares at $13 per share, which would raise $65 million. The company’s stock opened at $14.50 and closed at $14.80.
Founded in 1996, Ceres has failed to post a profit since 2007, according to filings with the Securities and Exchange Commission. It earned $6.6 million in revenue in its fiscal year that ended last August.
Underwriters--including Goldman Sachs and Barclays Capital--have options to purchase an additional 750,000 shares.
The initial offer price of $13 was the second reduction in recent weeks. On February 8, the company cut its estimated price range to $16 to $17 per share, which it expected would bring in $72.2 million. That was a decline from its earlier estimate of $21 to $23 per share.
Ceres says it plans to use the money from its public offering for research and development, seed production and capital expenditures related to production facilities and agricultural equipment.