Dhaka's Revolutionary Makeover Pits Visions of Peace Against Vengeance
Ingram Micro Holding Corp. and backer Platinum Equity raised $409 million in an initial public offering priced within a marketed range.
The Irvine, California-based technology company and Platinum sold 18.6 million shares on Wednesday for $22 each after offering them for $20 to $23, according to a statement. At the IPO price, the company has a market value of about $5.2 billion based on the outstanding shares listed in its filing with the US Securities and Exchange Commission.
The offering is much smaller than the $1 billion Bloomberg News reported that the company had been seeking.
Ingram Micro is selling 11.6 million shares in the IPO while Platinum Equity is selling 7 million, according to the statement. The company plans to use proceeds to help pay down a portion of its debt.
Founded in 1979, Ingram Micro offers technology, hardware and services, and its own digital platform, Ingram Micro Xvantage, according to the filings. Platinum Equity will continue to control almost 90% of Ingram Micro's shares after the offering, the filings show.
The company expects net income of $73 million to $77 million on net sales of about $12 billion in the 13 weeks ended Sept. 28, versus $87 million in net income on net sales of almost $12 billion in the same period a year earlier, according to its filings.
Platinum Equity agreed to acquire Ingram Micro from debt-laden Chinese conglomerate HNA Group Co. in 2020 for about $7.2 billion. The private equity firm led by billionaire Tom Gores has more than $48 billion in assets under management, according to its website. It has made over 450 acquisitions to date, the website shows.
Following the Platinum Equity acquisition, Ingram Micro sold most of its commerce and lifestyle services businesses to shipping and logistics firm CMA-CGM Group at an enterprise value of $3 billion, according to a statement at the time.
The offering is being led by Morgan Stanley, Goldman Sachs Group Inc. and JPMorgan Chase & Co. The company's shares are expected to begin trading Thursday on the New York Stock Exchange under the symbol INGM.