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BladeLogic Looks to $80M IPO

Data center automation specialist BladeLogic has added more flesh to the bones of its IPO strategy, revealing plans to raise more than $80 million in an offering later this year.

The vendor, which promotes its software as a way for users to centrally manage and provision servers and storage devices, will offer 5,750,000 shares priced between $12 and $14 per share, according to documents filed with the U.S. Securities & Exchange Commission (SEC) yesterday. (See BladeLogic Announces Alliance, Onaro, BladeLogic Team, Right90 Selects BladeLogic, and Storage Left Out of CMDB Loop.)

Of these shares, just under 4 million are BladeLogic common stock, and a little over a million are from selling stockholders, according to an amendment to the vendor's S-1. Underwriters Morgan Stanley, Merrill Lynch, Wachovia Securities, Citigroup, and Cowen & Company also have the right to purchase an additional 750,000 shares of common stock.

BladeLogic expects its net proceeds from the IPO, which will take place sometime later this year, to be around $45.4 million, based on a midpoint selling price of $13. This money will be used to expand the vendor's sales and marketing, as well as its R&D efforts, according to the SEC documents.

M&A is also on the horizon, with some of the proceeds funneled towards "the potential funding of strategic acquisitions," although the document does not reveal which firms are likely targets.

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