Perot Systems Corp, the latest vehicle for Ross Perot’s endless ambitions, was set to make its IPO today after a mysterious delay thwarted the company’s original intention to float its shares last week. A spokesperson at the company’s Dallas, Texas headquarters refused to divulge the reason for the delay. But Perot filed an amended registration statement with the Securities and Exchange Commission last Thursday which said 5.5 million shares, representing 6.6% of the company, would be offered at $13-$14, raising up to $77m for the company – and giving it a market valuation of $1.13bn, another formidable achievement for Mr Perot, who formed the company with eight associates in 1988 four years after the sale of his former company Electronic Data Services to General Motors for $2.5bn ended in his bitter departure. Perot Systems has since enjoyed rapid growth, with revenues likely to hit the $1bn mark this year. Revenues soared more than 125% from $342.3m in 1995 to $781.6m in 1997. The company says its main areas of focus are in four industries: financial services, energy, healthcare, and travel and transportation. With the IPO looming, Perot Systems has been working hard to improve margins and in the first nine months of the current year net income more than doubled to $28.2m. Whether or not investors take up the offer may likely depend upon their view of Ross Perot himself, who at the age of 68 acts as president, chairman and CEO. Not only does the former US presidential candidate control 38.4% of the stock but he – and not the company – owns the name Perot Systems and can withdraw it at any time. Even a man of Perot’s boundless energy will surely be ready to retire at some stage. But it is unlikely that his departure will lead to a serious executive search as, also on the company’s board – and already, at the age of 40, a member of the three-person executive committee, is Ross Perot Jr. Thus, it seems a fair bet that someone named Perot will be running Perot Systems for years to come.
