Spy Optics has launched a successful IPO on the Nasdaq National Exchange under the corporate name Orange.21 with the ticker symbol ORNG. Orange.21 offered 2.48 million shares initially, and then upping the number to 3.48 million shares when an internal stockholder decided to offer his/her shares for sale. The price was originally $8.75 per share, and trading started at $9.65 on Tuesday with shares currently selling in the $10 range.

The company should raise roughly $30.45 million before fees and plans to use the net proceeds for general corporate purposes, for repayment of approximately $200,000 outstanding under a loan with a private lender and for the repayment of amounts outstanding under the company’s revolving loan facility with Comerica Bank, including $1,000,000 which Spy borrowed intends to repay immediately after the closing of the offering.

According to the SEC filing, Orange.21 may use a portion of the net proceeds to acquire or invest in complementary businesses or products or to obtain the right to use complementary technologies. Currently the company has no commitments with respect to any acquisition or investment.

The company is rather small to go public with $24.0 million in revenue for the 9 month year to date period, up 21.8% over the same period last year. The company has been showing consistent growth over the past five years as well, with 24% average annual growth and annual sales increasing 118.6% since 1999.

Orange.21’s gross margin has been growing consistently as well, incrementally climbing 530 basis points over the past five years from 49.2% in 1999 to 54.5% in 2003. Income took a sharp turn downward for the first nine months of this year, presumably on expenses from the IPO, to $85,000 or 2 cents per share compared to $610,000 or 14 cents per share last year.

Orange.21 currently sells primarily sunglasses and goggles under a lone brand name, Spy Optics, but with an additional $18 million in cash in the bank, it looks like the company will have the opportunity to change that in the near future.