Ingram Micro’s Platinum Equity affiliate starts $200M share sale, $50M buyback
Ingram Micro’s Platinum Equity affiliate launched a $200 million secondary offering plus a 30-day option for $37.5 million, with all proceeds to the selling stockholder. Ingram Micro will repurchase at least $50 million of its own shares at the same net price under its $100 million buyback program.
1. Secondary Offering Details
Ingram Holdco, LLC, an affiliate of Platinum Equity, commenced a secondary offering of $200 million of Ingram Micro common stock under a shelf registration. The underwriters have a 30-day option to purchase an additional $37.5 million of shares at the public offering price, with all net proceeds payable to the selling stockholder.
2. Concurrent Share Repurchase
Simultaneously, Ingram Micro will repurchase at least $50 million of its common shares directly from the selling stockholder at the same net price paid in the offering. This repurchase is part of the company’s existing $100 million buyback program and will be funded with cash on hand, closing concurrently with the offering.
3. Underwriting and Registration
Morgan Stanley, Goldman Sachs and J.P. Morgan are serving as joint bookrunning managers and underwriter representatives for the transaction. The offering is made by prospectus supplement under an effective Form S-3 shelf registration, and the company will not receive any proceeds from the sale of the shares offered by the selling stockholder.