McAfee Shares Drop in Their First Day of Trading

McAfee trades lower than its initial public offering price of $20.
Author:
Publish date:

Shares of McAfee  (MCFE) - Get Report, the cybersecurity company founded by tech eccentric John McAfee, stood at $19 in their first day of trading, down from their initial offering price of $20.

The IPO of 37 million shares enabled McAfee to raise $740 million. Of those shares, 31 million came from the company and 6 million from existing shareholders.

The stock trades on the Nasdaq Global Select with the ticker "MCFE."

Underwriters of the offering included Morgan Stanley, Goldman Sachs Group, TPG Capital, Bank of America and Citigroup.

In the six months through June 27, McAfee posted profit of $31 million, swinging from a loss of $146 million a year earlier. Revenue rose 9% to $1.4 billion from $1.29 billion a year earlier.

John McAfee founded McAfee Associates in 1987 and ran it until 1994, when he left the company.

John McAfee was a person of interest in a 2012 murder in Belize, though wasn’t charged with a crime, Bloomberg reported. Last year, he was detained in the Dominican Republic for entering the country with firearms and ammunition.

In 2016, he sought the Libertarian Party nomination for president, losing to former New Mexico Gov. Gary Johnson. He gave it another shot this year but also came up empty.

Since leaving McAfee Associates, he has founded a number of companies, including Tribal Voice, which offers the PowWow chat program; QuorumEx and Future Tense Central.

McAfee’s anti-virus software was a market leader along with Norton in the 1990s and 2000s. It was sold to Intel for $7.7 billion in 2010.