Arista IPO Skyrockets, Hits $3.75B Valuation

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Arista IPO Skyrockets, Hits $3.75B Valuation

Shares of Arista Networks (ANET) soared on its trading debut today on Nasdaq, jumping 35 percent above a final offering price of $43, giving the company a market capitalization of about $3.75B.

Arista stock is now trading on the NYSE under the symbol "ANET" and most recently changed hands at 58.68, up 15.68 (36.47%) in mid-day trading in New York, after pricing its offering at $43 per share.

The Arista founders are now very rich -- or more accurately, richer than they were before. Founder and largest shareholder David Cheriton, who recently resigned from Arista and is involved in a lawsuit with the company, made off with about $900 million in the IPO, owning about 25 percent of the stock prior to the offering. Andy Bechtolsheim, Arista’s chairman and chief development officer owned about about 22 percent of the company prior to the offering and will take down about $800 million, and CEO Jayshree Ullal, formerly of rival Cisco Systems Inc., held 4 million shares, or seven percent, making her stake worth about $260 million.

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