Reuters: Global Markets: Tri Pointe Homes jumps 15 percent in market debut

Reuters: Global Markets Reuters.com is your source for breaking news, business, financial and investing news, including personal finance and stocks. Reuters is the leading global provider of news, financial information and technology solutions to the world's media, financial institutions, businesses and individuals. // via fulltextrssfeed.com

Tri Pointe Homes jumps 15 percent in market debut Jan 31st 2013, 15:24 Thu Jan 31, 2013 10:24am EST (Reuters) - Shares of Tri Pointe Homes (TPH.N), the first U.S. homebuilder to go public in almost a decade, opened up 15 percent in their market debut after the company priced its initial public offering (IPO) above the expected price range. The stock opened at $19.56, valuing the company at $618 million. About 4.5 million shares had exchanged hands on the New York Stock Exchange by 1000 ET. The company had said earlier on Thursday that it priced the IPO of 13.7 million shares - 43 percent of its outstanding shares - at $17 per share, raising about $233 million. Majority shareholder and Chairman Barry Sternlicht will retain a 45.4 percent stake in the Irvine, California-based company, according to a filing. Tri Pointe is aiming to take advantage of a recovery in the housing market six years after it fell into a deep rut that preceded the worst recession in the United States since the Great Depression. Smaller, privately held homebuilders were hit badly when the housing bubble burst in 2007, draining the funds that they now need to buy land and build new homes. Fellow homebuilder, Taylor Morrison Home Corp also filed with U.S. regulators in December to raise up to $250 million in an IPO. By going public, these smaller companies are trying to raise cash and meet the burgeoning demand for homes in the United States, a market in which they compete with large established players such as D.R. Horton Inc (DHI.N), Lennar Corp (LEN.N), PulteGroup Inc (PHM.N) and Toll Brothers Inc (TOL.N). Citigroup, Deutsche Bank Securities and FBR are the lead underwriters for the offering. (Reporting by Tanya Agrawal and Aman Shah in Bangalore; Editing by Roshni Menon) Link this Share this Digg this Email Reprints

You are receiving this email because you subscribed to this feed at blogtrottr.com. If you no longer wish to receive these emails, you can unsubscribe from this feed, or manage all your subscriptions