Company's share price did quite well during company's first day as a publicly listed company as its shares jumped 17 percent from the opening price of $16 to settle at $18.70 by the time of market closing on Friday. Share price peaked at $19.50 during the day's trading.
The $18.70 price gives San Diego -based company a market value of $625 million. Company has more than 200 employees and its annual revenue for the financial year 2005 was $29.3 million.
DivX became a household name in 2000 when it was dubbed as the "MP3 of the video", as it quickly became the most common video format in P2P networks and was associated to rapidly growing piracy of Hollywood movies. Nowadays DivX licenses its video encoding and DRM technology to several movie studios, device manufacturers and online video stores.
More information:
SignOnSanDiego.com
News.com
Reuters
Written by: Petteri Pyyny @ 25 Sep 2006 1:31
