Whistler Blackcomb Prices IPO at $12, Raising $300M

Canadian ski resort operator Whistler Blackcomb Holdings priced its IPO at $12 Canadian ($12), Reuters reported. Whistler Blackcomb is owned by Intrawest, a company owned by private equity firm Fortress Investment Group. The closing of the IPO is set for Nov. 9. Fortress will retain a roughly 34% ownership of Whistler Blackcomb after the IPO, Reuters reported.

(Reuters) Canadian ski resort operator Whistler Blackcomb Holdings, which hosted some 2010 Winter Olympics events, priced its initial public offering at C$12 per share, below what it had previously planned.

Whistler Blackcomb, a two-mountain ski resort in British Columbia, raised C$300 million. The proceeds will be used to buy a 75 percent stake in the companies that own the resort from Intrawest ULC, a company owned by funds managed by a unit of private equity fund Fortress Investment Group LLC .

Whistler Blackcomb was formed to complete the IPO.

Originally, the resort operator had planned to sell shares at between C$14 and C$15 with a yield of 6.5 percent to 7 percent. But last week, a source told Reuters that Whistler Blackcomb scaled back the pricing, and would try to sell shares for between $12.50 and $13, with an indicated yield of 7.5 percent to 7.8 percent. [ID:nN28268899]

The closing of the IPO is set for Nov. 9, and the company’s shares are expected to trade on the Toronto Stock Exchange under the symbol “WB.”

Fortress will still own about 34 percent of Whistler Blackcomb’s shares after the IPO, Fortress said in a statement.

The IPO’s underwriters have the option for 30 days to purchase another 3.75 million shares. The company would not get any proceeds from the sale of those shares.

C$1=$0.99

(Reporting by Phil Wahba; Editing by Bernard Orr)