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FleetCor Technologies (FLT), a provider of specialized payment products and services, priced its IPO on 14th December, 2010, at low end of range at $23, with first day return of 18.5%.

Business Overview (from prospectus)

FleetCor is a leading independent global provider of specialized payment products and services to commercial fleets, major oil companies and petroleum marketers. We serve more than 530,000 commercial accounts in 18 countries in North America, Europe, Africa and Asia, and we had approximately 2.5 million commercial cards in use during the month of December 2009. Through our proprietary payment networks, our cards are accepted at approximately 83,000 locations in North America and internationally. We provide our payment products and services in a variety of combinations to create customized payment solutions for our customers and partners. Our payment programs enable businesses to better manage and control employee spending and provide card-accepting merchants with a high volume customer base that can increase their sales and customer loyalty.

Offering: 12.7 million shares (12.2 million by selling stockholders) at $23 per share. Net proceeds of approximately $3.1 million will be used for debt repayment.

Lead Underwriters: J.P. Morgan (JPM), Goldman Sachs & Co. (GS)

Financial Highlights:

Revenue increased from $256.8 million in the nine months ended September 30, 2009 to $327.3 million in the nine months ended September 30, 2010, an increase of $70.5 million, or 27.5%...Merchant commissions increased from $28.9 million in the nine months ended September 30, 2009 to $39.5 million in the nine months ended September 30, 2010...Processing expense increased from $43.1 million in the nine months ended September 30, 2009 to $52.6 million in the nine months ended September 30, 2010...Selling expense increased from $21.5 million in the nine months ended September 30, 2009 to $23.2 million in the nine months ended September 30, 2010, an increase of $1.7 million, or 7.8%...General and administrative expense increased from $38.3 million in the nine months ended September 30, 2009 to $40.0 million in the nine months ended September 30, 2010...net income increased from $64.1 million in the nine months ended September 30, 2009 to $90.4 million in the nine months ended September 30, 2010, an increase of $26.3 million, or 41.0%...

Competitors

We compete with independent fleet card providers, providers of card outsourcing services and major financial services companies as well as major oil companies and petroleum marketers that issue their own fleet cards. We also compete with providers of alternative payment mechanisms, such as financial institutions that issue corporate and consumer credit cards, and merchants offering house accounts as well as other forms of credit. Our primary independent fleet card competitors are Wright Express Corporation (WXS), Comdata Corporation and U.S. Bank Voyager Fleet Systems Inc. in North America and Arval UK Group Limited (BNP) internationally.

Additional Resources:

Source: FleetCor Prices IPO at Low End of Range