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Ellison's NetSuite launches IPO auction

On-demand enterprise applications company kicks off its long-anticipated IPO auction, with bidding expected to last until December 19. Its aim is to raise $99 million.

Get those bidder paddles ready. NetSuite launched on Monday its long-anticipated IPO auction, with hopes of raising in excess of $99 million.

The auction, the first of NetSuite's four-step IPO process, is expected to close as early as December 19 at the market's close.

NetSuite, the on-demand applications company backed by Larry Ellison of Oracle fame, will then use the bid information to set a final IPO price, which will help it determine who should receive an allocation of shares.

For example, if a bidder wants 100 shares at $8 a share, another 100 shares at $10 a share, and finally another 100 shares at $15 a share, the bidder could potentially end of up with 200 shares and an outlay of $2,500, should NetSuite's IPO price at $10 a share.

NetSuite last week set an initial pricing range of $13 to $16 a share, but, of course, when all is said and done, auction participants may ultimately push the final IPO price above or below that range.

Do I hear $13? Now, do I hear $14? What about $15?