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Memory chip maker Smart Global Holdings (SGH) raised much less than expected with its initial public offering Wednesday.
Smart Global, which does business as Smart Modular, priced 5.3 million shares at $11 per share. That was well below the expected range of $13 to $15 per share.
The company raised $58.3 million, far from the $74 million it would have raised if it priced shares at the middle of the range.
The proceeds are also below the $66.6 million the company was planning to use to pay off debt.
Further political scandals in Brazil could have affected demand for the shares. Smart Global’s business is strongly tied to sales in Brazil.
Read the 5 Facts You Need to Know about the Smart Global IPO.