Home-security company ADT said its initial stock offering priced at $14 per share, well below an expected price range of $17 to $19 per share.
The lower-than-expected price range signals that investors may be picky about new equity offerings even as the stock market trades near record highs. ADT said its shares are expected to start trading on Friday on the New York Stock Exchange under the symbol "ADT."
ADT is owned by private equity firm Apollo Global Management, which The Wall Street Journal reported has at least doubled the money it invested in the home-security company. Nevertheless, ADT's performance in its IPO will be closely watched by other private-equity investors who may be considering stock sales for other businesses given the current market highs, The Journal noted.
ADT was founded in 1874 as the American District Telegraph, which later evolved from a telegraph company into making call boxes. By the early 1900s, it was providing security services.