U.S.I. said it granted the underwriters an option to purchase up to an additional 1.35 million shares to cover any over-allotments.

The broker said it intends to use the net proceeds of the offering for the repayment of indebtedness under its existing credit facility.

David Eslick, chairman, president and chief executive officer for U.S.I., said he was very pleased with the day's results and that the offering raised $90 million in its first day.

This is the first time the firm has gone public, and it is looking for long-term value and growth for U.S.I., he said.

Besides increasing shareholder value, Mr. Eslick said U.S.I. plans to continue investing in the company, "which puts us in a position to service our clients very nicely," continue organic growth, and grow through strategic acquisitions.

Launching the issue during a bearish market underscores U.S.I.'s confidence that it is "a very strong company," and "we think we can focus over the long term and let our performance guide the value of the company," Mr. Eslick said.

The offering was led by Merrill Lynch & Co. and J.P. Morgan Securities Inc. Credit Suisse First Boston Corporation acted as a co-manager along with Credit Lyonnais Securities Inc. and Fox-Pitt, Kelton Inc. The offering is expected to close on Oct. 25, the firm said.