Fueled by strong investor demand, LinkedIn bumped up its IPO pricing range by nearly 30% to between $42 and $45 a share on Tuesday, according to a filing with the Securities and Exchange Commission.

The social networking giant previously had set its initial pricing range at $32 to $35 a share on May 9, a range at which it garnered very strong investor interest during a week when the broader markets were choppy. Markets ended the day down on Monday.

LinkedIn's ability to so drastically increase its pricing range, even under such market conditions, is no surprise: Analysts had predicted that the company would boost the price for its long-awaited IPO almost as soon as the initial range was released. The company is expected to begin trading on Wednesday on the New York Stock Exchange under the ticker LNKD.

If the shares sell at the high end of their new pricing range, LinkedIn and its investors should raise about $352.8 million with the IPO, and give the business-oriented social network a valuation of approximately $4.2 billion.

It's also possible LinkedIn ultimately will be able to price its IPO shares above their pricing range -- a not uncommon result this year. According to IPO pricing figures from Renaissance Capital, 25.4% of IPOs in 2011 have priced above their range, while 29.9% priced below their range, and 44.8% priced within their range.

IPO pricings

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Rhonda

I deleat their e-mail twenty times a day.
Only a matter of time until everyone spams them.

May 17 2011 at 6:27 PM Report abuse rate up rate down Reply
nxston08

IPO's prices are for suckers. The greed factor is alive and well. The investment banks get at least a 7% or more fee straight off the top. Insiders will probably get stock options of about $15.00 per share. So where's you money going? The fat cats get it. Wait until you see the qtrly report and other financials. Then you can determine what the company is realy worth.

May 17 2011 at 2:22 PM Report abuse rate up rate down Reply
erikjupiter

Are you all aware that by 2013, when you sell your primary residence, you will be taxed 3.8%. The reason why Obama and his liberal Ddemocrooks didn't want anyone to read the healthcare bill was because this real estate tax is included in it.

May 17 2011 at 1:50 PM Report abuse +1 rate up rate down Reply
3 replies to erikjupiter's comment
sagg1948

You would be a fool to pay the ipo price for this issue. Most all ipo;s paid for at open price usually leave investor holding the bag after about a month. Do not chase this IPO.

May 17 2011 at 8:36 AM Report abuse rate up rate down Reply