Cushman & Wakefield plc has set terms for its initial public offering, seeking to raise up to $810 million.
The commercial real estate services company said in a regulatory filing that it is offering 45 million shares in the offering and expects pricing between $16 and $18 per share. At the midpoint of the range, the company would have a market value of $3.5 billion.
Cushman & Wakefield expects to raise up to $931.50 million if all options granted to underwriters are exercised by them. The company plans to list its ordinary shares on the NYSE under the symbol “CWK”.
The company said it intends to use the net proceeds from the IPO to pay down its outstanding debt, in particular to repay its second lien loan. As at the end of March 2018, the company had $3.1 billion in debt.
Morgan Stanley, J.P. Morgan, Goldman Sachs, UBS Investment Bank, Barclays, BofA Merrill Lynch, Citigroup, Credit Suisse and William Blair are the joint book-runners on the IPO.
Cushman & Wakefield was founded in New York in 1917. The company was acquired in 2014 by an investor group that includes TPG Capital, Ontario Teachers’ Pension Plan and PAG Asia Capital.
With about 48,000 employees, the company operates from about 400 offices in 70 countries and manages about 3.5 billion square feet of commercial real estate space on behalf of institutional, corporate and private clients.
The company generated revenues of $6.9 billion and net loss of $221 million in 2017. For the three months ended March 31, 2018, the company recorded net loss of $92.0 million and revenue of $1.8 billion.
by RTTNews Staff Writer
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