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Rackspace, web hosting and storage company based in San Antonio-Texas, has finally managed to get out of the gate and become public. The company is now traded on the NYSE under the RAX ticker and have sold 15 million shares to the public at $12.50 per share.

The current public offerings has helped Rackspace bag $187.5 million. Rackspace wanted to raise $276 million at $16 per share by offering 17 million shares to the public in April.

Rackspace was helped by Credit Suisse and Merrill Lynch in keeping their books for the IPO. The company was funded by Norwest Venture Partners and Sequoia Captial. Rackspace’s IPO has come as a first drop in the the dry desert of tech IPO’s. It would also give a motivation to other tech companies that have strong financial stature to try their luck with IPO this season.

The companies share are currently trading at $10.60 per share which tells us a lot about the current state of the economy. Rackspace team and its investors should consider themselves lucky to pull this off.