Boise Cascade Raises IPO Price
In a filing today with the Securities and Exchange Commission, Boise Cascade LLC has amended the terms of its initial public offering (IPO), which is scheduled to go off tomorrow. The company will offer 11.76 million shares in a price range of $18 to $20 a share. The previous range was $16 to $18 a share. Including the underwriters' options of 1.76 million additional shares, Boise Cascade's net proceeds should be around $238 million at the mid-point of the new range. The stock will trade on the NYSE under the ticker symbol BCC.
Boise Cascade expects to use $25 million of the net proceeds to repay borrowings on its revolving credit facility and the remainder for general corporate purposes. Following the IPO, there will be 41.46 million shares outstanding and another 3 million shares have been reserved for a management equity incentive plan the company plans to adopt along with the IPO.
The company manufactures and distributes a variety of wood products used in the construction business. Now, when new home sales are recovering, is a good time for Boise Cascade to hit the markets. The IPO pricing boost makes that pretty clear.
The SEC filing is available here.
Filed under: 24/7 Wall St. Wire, Housing, IPOs Tagged: BCC, featured