BladeLogic's shares surge on first day

Shares of BladeLogic Inc., a provider of data center automation software, spiked more than 50 percent today, their first day of trading after the company's initial public offering priced at the high end of the expected range.

The shares opened at $24.25, 43 percent above the $17 offering price. After dropping to $22.55, the stock has traded as high as $26.52, more than 50 percent above the offering price.

The Lexington, Mass.-based company had originally expected the IPO to price between $12 and $14 per share. On Tuesday, BladeLogic raised the anticipated price range to $16 to $17 per share.

Of the 5 million shares being offered, 3.9 million will be sold by BladeLogic, and 1.1 million are being sold by a group of shareholders. The underwriters have the option of buying up to an additional 750,000 shares from the company to cover any over-allotments.

Morgan Stanley and Merrill Lynch are serving as the lead underwriters for the offering.

In midday trading, BladeLogic shares surged $8.15, or 47.9 percent, to $25.15. (AP)