Demand exceeds supply in Diligent stock offering

American software company Diligent's NZX listing has closed fully subscribed, potentially raising $24 million for company expansion.

Market sources said total investor interest in the initial public offer came to around $45 million.

However, Duncan Priest of lead manager McDouall Stuart was more circumspect, saying demand exceeded supply but was not able to put a figure on it because there was no public pool.

"If it was $24 million being offered to the public it may well have been five times oversubscribed, but it's academic."

Founded by New Zealander Brian Henry, Diligent runs the software development for its web-based board paper management system from Christchurch.

Shares will begin trading on the NZX next Wednesday.