It’s a Shanda
In Yiddish, the word shanda means something scandalous. And that’s probably the sentiment being felt today by investors who got shares in the IPO for online video game company Shanda Games.
The Chinese-based company raised $1 billion from investors, pricing its shares at $12.50–at top end of the expected range. The initial public offering is the biggest in the US this year and comes as there’s been a sudden revival in IPO activity.
But Shanda got smacked around right out of the gate and has been falling ever since.
Update: Shanda keeps tumbling. Hmm, a shanda on the lead undewriters, Goldman Sachs and JPMorgan Chase, that sold this deal at the high end of the projected range.