June 5 Arista Networks Inc shares have
been priced at $43 each, the Wall Street Journal said, citing
sources, valuing the network switch maker at about $2.75
Arista's IPO raised about $226 million, after its offering
of 5.25 million shares was priced well above its expected price
range of $36-$40.
The company, which competes with Cisco Systems Inc,
makes network switches that handle traffic at large internet
data centers for companies including Microsoft Corp,
VMWare Inc, Facebook Inc, Yahoo Inc,
Comcast Corp and Citigroup Inc.
Arista was started in 2004 by Andy Bechtolsheim, co-founder
of Sun Microsystems and David Cheriton, a Stanford University
computer science professor, with $100 million in funding.
Cheriton and Bechtolsheim, who were the initial investors in
Google Inc, also founded Gigabit Ethernet startup
Granite Systems, which was acquired by Cisco in 1996.
Arista introduced its first products, used in high-frequency
trading, in 2008. It has also gained traction with new uses for
its products such as cloud computing, big data and software
The company's net income rose about 87 percent to $12.3
million, for the three months ended March 31, while revenue rose
about 91 percent to $117.2 million.
Net proceeds from the offering would be used for general
corporate purposes and working capital needs, Santa Clara,
California-based Arista said.
Arista's shares are expected to start trading on the New
York Stock Exchange on Friday under the symbol "ANET".
Morgan Stanley and Citigroup are the lead underwriters for
(Reporting by Avik Das in Bangalore)