Ingram Micro Holding Corporation Announces Launch of Secondary Offering of $330 Million of Common Stock by its Principal Stockholder and a Concurrent Stock Repurchase
Ingram Micro Holding Corporation has announced a $330 million secondary stock offering by its principal shareholder, Platinum Equity's Ingram Holdco. This offering will be accompanied by a $30 million share repurchase program. The offering is underwritten by financial giants Morgan Stanley, Goldman Sachs, and J.P. Morgan Securities.
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Ingram Micro Holding Corporation (the "Company") today announced that Ingram Holdco, LLC, an affiliate of Platinum Equity, LLC (the "Selling Stockholder"), has commenced a secondary offering of $330 million of its common stock ("Common Stock," and such offering, the "Offering"), pursuant to an automatic shelf registration statement filed with the Securities and Exchange Commission (the "SEC").
In addition, the Selling Stockholder expects to grant the underwriters a 30-day option to purchase approximately $45 million of Common Stock at the public offering price, less underwriting discounts and commissions.
The Selling Stockholder will receive all of the net proceeds from the Offering (including from the exercise of the underwriter option as described above). The Company is not offering any shares of its Common Stock in the Offering and will not receive any of the proceeds from the sale of the shares offered by the Selling Stockholder.
Further, the Company expects to authorize a repurchase for an aggregate number of the Company's Common Stock equal to at least $30 million from the underwriters as part of the Offering at a price per share equal to the price per share at which the underwriters agree to purchase shares of Common Stock from the Selling Stockholder (the "Share Repurchase"). The underwriters will not receive any compensation for the Share Repurchase. The Share Repurchase is part of the Company's existing $175 million share repurchase. Upon completion of the Share Repurchase, the Company will have $70 million of capacity remaining under the existing share repurchase program. The Company expects to fund the Share Repurchase with cash on hand. The Share Repurchase is expected to be consummated concurrently with the closing of the Offering. Although the Share Repurchase will be conditioned upon, among other things, the closing of the Offering, the closing of the Offering will not be conditioned upon the closing of the Share Repurchase.
Morgan Stanley & Co. LLC, Goldman Sachs & Co. LLC and J.P. Morgan Securities LLC (collectively, the "Underwriter Representatives") are acting as the representatives to the several underwriters and joint bookrunning managers for the Offering.
An automatic shelf registration statement on Form S-3 (including a prospectus) relating to these securities has been filed with the SEC and is effective. The Offering is being made solely by means of a prospectus supplement and the accompanying prospectus. You may obtain these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, copies of the prospectus supplement and the accompanying prospectus relating to the Offering may also be obtained by contacting: Morgan Stanley & Co. LLC, Prospectus Department, 180 Varick Street, New York, New York 10014, or email: prospectus@morganstanley.com; Goldman Sachs & Co. LLC, Attn: Prospectus Department, 200 West Street, New York, NY 10282 (Tel: 866-471-2526) or by e-mail at prospectus-ny@ny.email.gs.com; and J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, or email: prospectus-eq_fi@jpmchase.com and postsalemanualrequests@broadridge.com.
This press release is for informational purposes only and shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of any securities in any state or jurisdiction in which such an offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About the company
The Company (NYSE: INGM) is a leading technology company for the global information technology ecosystem. With the ability to reach more than 90% of the global population, we play a vital role in the worldwide IT sales channel, bringing products and services from technology manufacturers and cloud providers to business-to-business technology experts. Through Ingram Micro Xvantage™, our AI-powered digital platform, we offer what we believe to be the industry's first comprehensive business-to-consumer-like experience, integrating hardware and cloud subscriptions, personalized recommendations, instant pricing, order tracking, and billing automation. We also provide various technology services, including financing, specialized marketing, lifecycle management, and technical pre- and post-sales professional support.
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