Return to search

German packaging group Mauser targets $319 million New York listing: Reuters

German packaging group Mauser (MSR.N) aims to raise up to $319 million from a stock market listing in New York, the company said in a regulatory filing on Monday.

The company, which is owned by private equity firm Clayton Dubilier & Rice (CD&R), is planning to offer its shares in a $20-$22 price range, giving it a market capitalization of up to $1.05 billion.

The initial public offering (IPO) is expected to take place as early as late March or early April, people close to the matter said.

Separately, CD&R is continuing talks with buyout group Stone Canyon about an outright sale of Mauser for more $2 billion, the sources added.

CD&R had bought Mauser in 2014 from Dubai International Capital for about 1.25 billion euros ($1.33 billion) including debt and started preparations for an IPO within a year of the deal.

Mauser, which makes packaging equipment such as cans and drums for transporting medical waste and other hazardous chemicals, intends to reduce its debt by about 200 million euros with the proceeds from the IPO.

Its total debt stood at 1.3 billion euros in September.

Mauser posted earnings before interest, tax, depreciation, and amortization (EBITDA) of 167 million euros on sales of 1.1 billion euros in the first nine months of 2016.

It expects to post EBITDA of up to 227 million euros for the whole of 2016.

Listed peers are trading at 8-10 times their expected core earnings.

Mauser paid CD&R a combined dividend of 185 million euros in 2015 but is planning no further payouts.

Bank of America Merrill Lynch, Citi and Credit Suisse are organizing the stock market listing with the help of Deutsche Bank, Baird, Jefferies, BNP, ING Natixis and Nomura.