Taylor Morrison Home Corp. launched an underwritten public offering of 10.0 million class A common shares.
Including the full exercise of the underwriters' option to buy up to 1.5 million additional shares, the offering is expected to generate roughly $241.0 million in gross proceeds, based on the company's Jan. 30 closing stock price of $20.96 per share.
The company plans to use the net proceeds to buy the same number of partnership units in its TMM Holdings II LP subsidiary, together with class B common shares held by affiliates and funds managed by TPG Global LLC, Oaktree Capital Management LP and JH Investments Inc., which are also the company's current equity sponsors.
J.P. Morgan Securities LLC, Citigroup and Credit Suisse Securities (USA) LLC are the joint book-running managers, with Deutsche Bank Securities, BofA Merrill Lynch, Goldman Sachs & Co., Wells Fargo Securities LLC and Zelman Partners LLC as joint lead managers.
HSBC Securities (USA) Inc., TPG Capital BD LLC and Comerica Securities Inc. are the co-managers.