Private equity eyes Nielson IPO nervously

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Private equity-backed companies dominate the IPO pipeline as of now. Buyout firms are hoping the revival of the stock market will allow them to exit more companies. Roughly 25 private equity backed IPOs are on tap, with Nielson expected to kick things off. Other companies preparing for a deal: Toys R Us, HCA, and Kinder Morgan.

Nielson is expected to price its deal in late January, according to the New York Times. The company aims to raise $1.5 billion, a large portion of which will be used to pay down debt. The owners of the company include  Kohlberg Kravis Roberts, Carlyle Group, Blackstone Group, Thomas H. Lee Partners, AlpInvest Partners and Hellman & Friedman. They bought the company way back in 2006. None of these firms will sell their shares in the IPO.

Many sense the time is now for these kinds of IPOs, as the aftermarket for private equity-backed IPOs showed more strength toward the end of 2010.

The company would like to price the deal at $20 to $22. It will be telling if Nielson has to adjust that downward. The road show for Nielson will take two weeks.

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