Lindows has dropped its IPO price.
Linux upstart Lindows Inc has slashed the price range for its expected IPO to a range of $7 to $9 per share according to a filing with the Securities and Exchange Commission last Friday.
The San Diego, California-based software firm had previously estimated the IPO deal to fall between $9 to $11 a share.
The company now stands to raise around $40m if it makes the top-end of its revised share price, which is 18% lower than its original top-end estimate.
Lindows is offering 4.4m shares. The deal is being underwritten by JMP Securities, Roth Capital Partners, Merriman Curhan Ford & Co, and Kaufman Bros.
Founded in 2001 Lindows develops and sells Linux based operating system software for desktop machines.
Despite its relatively small stature in the market, Lindows is growing rapidly. It recently reported annual sales of $2.1m, up from the previous year’s $63,131. The company also managed to slim down its net loss to $4.1m from $6.7m a year ago.
Lindows had originally filed for a $57.5m IPO in April this year, amidst signs of a possible revival of the tech sector in the IPO market.
Hosted CRM vendor Salesforce.com Inc also recently filed its IPO and Google Inc is expected to go public soon; though the search engine software provider is currently being investigated for alleged securities violations. Google’s IPO is expected to raise up to $3.3bn.