Medline may raise up to $7B in IPO, FT reports

Investing.com -- Medical supply group Medline Industries is considering raising up to $7 billion in its public offering on Tuesday, an sharp increase from its original $5.4 billion target, according to a Financial Times report.

The company had initially planned to raise $5.4 billion at $30 per share, the top of its marketed range, but discussions are now underway to potentially increase the offering size to $7 billion. No final decisions have been made yet, the report added.

If completed at this size, the offering would rank among the largest public listings this year and could become the biggest-ever listing by a private equity-backed company.

Medline became privately owned in 2021 when Blackstone, Carlyle, and Hellman & Friedman acquired a majority stake for $34 billion, marking the largest leveraged buyout since the financial crisis at that time.

The private equity groups would approximately double their combined $17 billion equity investment if Medline’s shares price at the midpoint of the marketed range. However, these firms will not be selling any of their stock in the initial public offering.

The proceeds from the IPO will be used by Medline to reduce its debt burden, which currently stands at nearly $17 billion.

You May Also Be Interested In

• Absci, FuelCell Energy surge premarket; Cerebras, FedEx tumble
• Goldman Sachs is bullish on these customer experience software stocks
• U.S. Treasury to oversee Iranian funds under interim peace deal, Bessent says