Canadian space technology firm MDA Ltd. raised C$400 million ($320 million) in its initial public offering, falling roughly 20% below its targeted amount after selling shares for less than expected.
The company, best known for developing a giant robotic arm used in space, sold about 28.6 million shares for C$14 each, below its marketed range, according to sale documents. MDA had sought to raise about C$500 million by selling shares for C$16 to C$20 apiece, according to earlier documents.
Bank of Montreal, Morgan Stanley and Bank of Nova Scotia led the group of investment banks on the sale. The underwriters have the option to sell an additional 15% of the offering after the close.
Brampton, Ontario-based MDA will list on the Toronto Stock Exchange under the ticker symbol MDA, marking a return for an iconic Canadian company once known as MacDonald, Dettwiler and Associates.
MDA specializes in space robotics, satellite systems and satellite imagery analysis. Its products include a global maritime information platform for vessel detection and climate monitoring, sensors for space missions and the robotic Canadarm used in NASA’s Space Shuttle program and later on the International Space Station.
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