NEW YORK (AP) — Shares of LifeLock fell more than 3 percent in its first day of trading as the online provider of identity theft protection services priced its initial public offering below the anticipated range.
The Tempe, Ariz., company dropped 30 cents, or 3.2 percent, to $8.70 in morning trading on Wednesday. The shares opened at $8.38, down 7 percent from the $9 per share that the initial public offering was priced at. The broader markets were mostly higher.
LifeLock disclosed in a September regulatory filing that it expected the offering of 15.7 million shares to price between $9.50 and $11.50 each.
The offering raised $141.3 million.
LifeLock is offering 15.5 million shares in the IPO, while certain selling stockholders are offering 200,000 shares. LifeLock won't receive any proceeds from the shares sold by selling stockholders.
The underwriters have a 30-day option to buy up to an additional 2.4 million shares from LifeLock.
LifeLock said in its filing with the Securities and Exchange Commission that it planned to use its net proceeds to pay back an outstanding balance for a term loan related to its acquisition of ID Analytics. The company also said it would use part of the proceeds to pay the amounts due to some preferred shareholders and for working capital and other general corporate purposes.
LifeLock Inc. is listed on the New York Stock Exchange under the "LOCK" ticker symbol.