It looks like the Internet initial public offering market might be back. The IPO of PurchasePro.com (Nasdaq: PPRO), which provides business-to-business e-commerce services for small and medium-sized businesses, had a strong debut on Tuesday. The IPO was priced at $12 — the middle of the proposed range — and the stock closed its first day of trading up nearly 118 percent, gaining 14-1/8 to 26-1/8.
Volume was brisk, with nearly 13 million shares changing hands, compared to the four million shares offered in the IPO. The success of PurchasePro.com’s IPO isn’t really a surprise. Business-to-business e-commerce is an extremely hot sector right now. Forrester Research projects that the market will grow from $43 billion in 1998 to $1.3 trillion by 2003.
Shares of PurchasePro.com were holding strong this morning, gaining 7/16 to 26-9/16 in early trading.