Jive Software may lack the name recognition of other social media companies, such as Facebook, Twitter and Zynga. But, it is at the beginning of a ride that’s at least as exciting as those of other social media IPOs. The B2B social platform priced its IPO at $12 a share, 20 percent higher than its pre-IPO range of $8 to $10, according to Renaissance Capital. In doing so, the company raised $161 mn – well above the $105 mn to $135 mn, approximately, that it was reported to have sought.

What’s interesting is that two of the company’s major venture capital investors – Sequoia Capital and Kleiner Perkins – didn’t unload any of their holdings. The two firms own approximately 40 percent of the company now (i.e., post-IPO).

So, what happens next?

I don’t think this is the end of the road for Jive Software news, for a few reasons. First, I agree with StockTwits CEO Howard Lindzon, that Jive Software is a great acquisition target, especially in the enterprise software category. Oracle did a deal recently to acquire a social platform, and there were rumors swirling, briefly, that SAP was going to snap up Jive Software ahead of the IPO. The rumors were later debunked, but the strategic perspective on it nonetheless fits.

Jive Software’s income statement is still in rough shape, which isn’t too big a problem if the company is indeed positioning itself for an acquisition. Also, I do believe it has time to get its house in order if it plans to go the distance as a public company (but my vote is still for a takeover at some point).

In the near term, the challenge will come when the stock can be shorted, and we’ll see if investors are planning to treat Jive like Grouponrun it up, cash out and knock it down. At this stage of the game, I can’t tell if that’s what is in the works, but I do see a long-term opportunity for the company in the space, if it can endure any early bumps it will encounter from the capital markets. Jive would be a great additional component to a SaaS ERP or CRM system.

Now, let’s take a look at how got rich on the Jive Software IPO!

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Source: Renaissance Capital

Photo: @JiveSoftware via Twitter