CDC Software Corp., has filed a registration statement for an initial public offering with the U.S. Securities and Exchange Commission.
CDC Software is a wholly-owned subsidiary of CDC Corp. If the offering is completed, CDC Corporation’s equity interest in CDC Software will be reduced from 100.0 percent to 83.4 percent.
“We believe that the IPO will better help to differentiate the CDC Software brand from the other core businesses of CDC Corporation and gives investors a choice,” said Peter Yip, CEO of CDC Software and CDC Corp., in a statement.
Yip continued, “The planned IPO is part of our previously announced strategic initiatives to focus CDC Software as a pure play enterprise software company. We also believe that the IPO helps to provide CDC Software with its own currency to help strengthen its acquisition strategy so it can continue to build out its enterprise applications and services platform and enables the company to expand into other vertical and high growth emerging markets such as in India and China.”
CDC Software anticipates total proceeds from the IPO of $52. 1million, of which it anticipates pocketing $43.4 million.
Lazard Capital Markets and JMP Securities will act as joint book-runners, and Cantor Fitzgerald & Co., Janney Montgomery Scott, Macquarie and Morgan Keegan & Company, Inc. will each act as co-managers for the offering.
