Rosetta Stone IPO

Language software maker Rosetta Stone IPO (RST) launched today and their stock sold at the higher end of the price range. 6.25 million shares were bought at $18, suggesting that there was strong demand for a piece of the language learning software market. In total, they raised $112m to fund their global expansion. Nice to see Rosetta raise the money in this environment.

Brady Lemos, an equity analyst at Morningstar, had this to say about RST:

"As a provider of educational software, Rosetta Stone is more resilient to economic slumps than many other software firms, in our opinion," Lemos said in a research note. "We think Rosetta Stone offers a relatively compelling value proposition (a typical three-level program costs about $500), particularly in a challenging consumer spending environment."

ACT360 is seeing the same kind of growth with our new TestDEN training bundles.