It appears that the Wall Street appetite for specialty retail continues as Golf Galaxy, Inc., the 45-door golf specialty retailer based in Minnesota, closed its first day of trading on the NSDAQ exchange with a 32.9% increase in share price. GGXY shares opened the day Friday at $14, which was above the target range of $11 to $13 announced the week before, and closed the day at $18.16.
The company sold 3,950,000 shares of its common stock at $14.00 per share and granted the underwriters an option to purchase up to an additional 592,500 shares at the IPO to cover over-allotments, if any. Piper Jaffray acted as the sole book-running manager and William Blair & Company acted as joint lead manager for the offering. A.G. Edwards and Wedbush Morgan Securities acted as co-managers for the offering. Company insiders pocketed about $4.7 million by selling 333,000 shares.
