The IPO Buzz: StandardAero Sets Terms & Launches $1 Billion IPO for October

Just as the sun rose over Wall Street today, StandardAero (SARO Proposed) unveiled the terms for its $1 billion IPO. StandardAero is offering 46.5 million shares at a price range of $20.00 to $23.00 to raise $999.75 million – essentially $1 billion – in its initial public offering, according to its S-1/A filing, dated Sept. 23, 2024. The StandardAero IPO –  set to price Oct. 1, 2024 – is the first $1 billion deal to launch after the Fed’s shift last week to easier monetary policy with its first rate cut in four years. StandardAero’s stock is expected to start trading Wednesday, Oct. 2, 2024, on the New York Stock Exchange.

StandardAero would have a market cap of about $7.05 billion, if the IPO is priced at the $21.50 mid-point of its range.

J.P.Morgan and Morgan Stanley are leading the joint book-runners. The other banks on the book-running team include BofA Securities,  UBS Investment Bank,  Jefferies and  RBC Capital Markets. Other investment banks on the team include Carlyle, CIBC Capital Markets, HSBC, Mizuho Securities, Societe Generale and Wolfe Nomura Alliance.

StandardAero, Inc., based in Scottsdale, Arizona, says it believes that it is “the world’s largest independent pure-play provider of aerospace engine aftermarket services for fixed and rotary wing aircraft, serving the commercial, military and business aviation end markets,” according to the prospectus. The company is Incorporated in Delaware.

In the prospectus, StandardAero says it will use the IPO’s proceeds to pay off about $808.9 million of debt.

StandardAero is not profitable. For the year that ended Dec. 31, 2023, StandardAero reported a net loss of $35.1 million on revenue of $4.56 billion, according to the prospectus.

For more information about these companies, please check the IPO Calendar and the individual IPO Profiles found on IPOScoop.com’s website.)

Note: Never trade on proposed symbols. They have been known to change and you might buy something on the OTC Bulletin Board.

To see what time the NASDAQ IPOs are expected to trade, please log in to: NASDAQTrader.com then scroll down to IPO Message.

Disclosure: Nobody on the IPOScoop.com staff has a position in any stocks mentioned above, nor do they trade or invest in IPOs. The IPOScoop.com staff does not issue advice, recommendations or opinions.

Disclaimer: A SCOOP Rating (Wall Street Consensus of Opening-day Premiums) is a general consensus taken, at press time, from Wall Street and investment professionals concerning how well an IPO might perform when it starts trading. The SCOOP Rating does not reflect the opinions or anyone associated with IPOScoop.com. The SCOOP ratings should not be taken as investment advice. The rating merely reflects the opinion of the professionals at the time of publication and is subject to last-minute changes due to market conditions, changes in a specific offering and other factors, such as changes in the proposed offering terms and the shifting of investor interest in the IPO. The information offered is taken from sources we believe to be reliable, but we cannot guarantee the accuracy.