McJunkin Red Man Files For IPO With SEC
McJunkin
Red Man Holding Corp., with offices in Tulsa, OK, and Charleston, WV, filed a
registration statement with the U.S. Securities and Exchange Commission on Aug.
19 in which it announced an initial public offering of all of the shares of its
common stock. The company also stated its intention to apply to have its common
stock listed on the New York Stock Exchange under the symbol
“MRC.”
The proposed maximum aggregate offering price was listed as $750 million in the statement, estimated solely for the purpose of calculating the registration fee pursuant to SEC rules.
“We will not receive any of the proceeds from the sale of the shares,” the company said in its registration statement. PVF Holdings LLC is the selling stockholder and proceeds from the sale of common stock are solely for the account of PVF Holdings LLC, which intends to distribute the net proceeds of this offering, after giving effect to the underwriting discount, to its members. These include certain members of its board of directors and senior management team and various of their affiliates. In addition, affiliates of Goldman, Sachs & Co., which owns a majority interest in PVF Holdings LLC, will receive a significant portion of the proceeds, according to the documents.
The company described its business strategy in the documents as follows: “Our goal is to become the largest global distributor of PVF and related products to the energy and industrials sectors. We intend to grow our business by leveraging our existing position as the largest North American distributor of PVF products and services to the energy industry based on sales. Our strategy is focused on pursuing growth by increasing organic market share and growing our business with current customers, expanding into new geographies and end markets, further penetrating the Canadian Oil Sands and downstream sector, pursuing selective strategic acquisitions and investments, increasing recurring revenues through integrated supply, MRO and project contracts, and continuing to increase our operational efficiency.”
The proposed maximum aggregate offering price was listed as $750 million in the statement, estimated solely for the purpose of calculating the registration fee pursuant to SEC rules.
“We will not receive any of the proceeds from the sale of the shares,” the company said in its registration statement. PVF Holdings LLC is the selling stockholder and proceeds from the sale of common stock are solely for the account of PVF Holdings LLC, which intends to distribute the net proceeds of this offering, after giving effect to the underwriting discount, to its members. These include certain members of its board of directors and senior management team and various of their affiliates. In addition, affiliates of Goldman, Sachs & Co., which owns a majority interest in PVF Holdings LLC, will receive a significant portion of the proceeds, according to the documents.
The company described its business strategy in the documents as follows: “Our goal is to become the largest global distributor of PVF and related products to the energy and industrials sectors. We intend to grow our business by leveraging our existing position as the largest North American distributor of PVF products and services to the energy industry based on sales. Our strategy is focused on pursuing growth by increasing organic market share and growing our business with current customers, expanding into new geographies and end markets, further penetrating the Canadian Oil Sands and downstream sector, pursuing selective strategic acquisitions and investments, increasing recurring revenues through integrated supply, MRO and project contracts, and continuing to increase our operational efficiency.”
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