Realogy IPO to watch: According to the latest amended prospectus filed with the SEC (Securities and Exchange Commission) by Realogy Holdings Corp on September 28, 2012, the company has been approved to trade its common stock on the NYSE under the symbol “RLGY”.The company intends to sell 40 million shares of common stock in its IPO (initial public offering) to raise up to $1.242 billion. Realogy IPO price is anticipated to be $23.00 and $27.00 per share.
The company expects to collect net proceeds of approximately $946 million (or $1,089 million if the underwriters exercise their option in full), based on an assumed offering price of $25.00 per share, the midpoint of the anticipated Realogy IPO price range.
Realogy intends to use the net proceeds for multiple purposes: to prepay the Second Lien Loans; to repurchase or redeem Senior Notes and outstanding Senior Toggle Notes; to redeem convertible notes; to pay Management Agreement Termination Fee; to pay for the Significant Holder letter agreements; to pay for indebtedness and so on.
Realogy Holdings Corp has four primary titles: The world’s largest real estate brokerage franchisor, the largest owner of U.S. residential real estate brokerage offices, the largest U.S. and a leading global provider of outsourced employee relocation services and a significant provider of title and settlement services. The company generated revenues from fee-for-service. The company has a franchise brokerage brand portfolio consisting of Century 21®, Coldwell Banker®, ERA®, Sotheby’s International Realty®, Better Homes, Gardens® Real Estate, Corcoran Group® and CitiHabitats brands.
Goldman, Sachs & Co. and J.P. Morgan are palying the role of leading underwriters for this deal. Barclays,Credit Suisse, Citigroup, Wells Fargo Securities, BofA Merrill Lynch, Credit Agricole CIB, Comerica Securities ,CRT Capital, Houlihan Lokey, Lebenthal & Co., LLC, Loop Capital Market and Apollo Global Securities are also involved in Realogy IPO underwriting syndicate. Realogy Holdings has granted these underwriters an option to buy up to 6,000,000 additional shares at Realogy IPO price.