Avantor Inc. sold 238,050,000 common shares at $14 apiece in its IPO to raise about $3.33 billion in gross proceeds.
The laboratory equipment and chemicals manufacturer said underwriters fully exercised their option to purchase 31,050,000 additional common shares at the offering price.
The company also closed a concurrent public offering of 20.7 million shares of its 6.250% series A mandatory convertible preferred stock at $50 each. Each mandatory convertible preferred stock will convert to Avantor's shares on May 15, 2022, unless converted earlier.
According to the company's May 21 press release, Avantor raised about $4.24 billion in net proceeds.
The Radnor, Pa.-based company used about $2.63 billion from the proceeds to redeem all outstanding shares of Avantor's existing series A preferred stock and the remaining amount to repay $1.02 billion and $582 million under its senior secured dollar term loan facility and euro term loan facility, respectively.
Avantor's common shares started trading on the New York Stock Exchange under the symbol AVTR.
Goldman Sachs & Co. LLC and J.P. Morgan were the joint book-running managers and representatives of the underwriters for the offerings.
Bank of America Merrill Lynch, Barclays, Jefferies, Credit Suisse, Deutsche Bank Securities, Evercore ISI, Guggenheim Securities, Morgan Stanley, UBS Investment Bank, Citigroup, Cowen, Piper Jaffray and RBC Capital Markets were the book runners. Baird, William Blair, Janney Montgomery Scott, KeyBanc Capital Markets, PJT Partners LP, Raymond James, Stephens Inc., Stifel, SunTrust Robinson Humphrey, Wells Fargo Securities and Drexel Hamilton were the co-managers for the offering.