The commercial laundry equipment manufacturer, Alliance Laundry, is aiming at a valuation of up to $4.34 billion in its initial public offering in the U.S. on Monday, and the insanity surrounding first-time share sales continues to be felt.
The Ripon, Wisconsin-based firm and its investor, BDT Capital Partners, are seeking to raise $751.2 million, selling 34.1 million shares at a price of between $19 and $22 per share.
October is also emerging as another potentially busy month for the IPO market after a scalding opening to the fall window.
Recently, tax firm Andersen Group, crypto custody company BitGo, and corporate travel and expense company Navan have entered the IPO pipeline.
Alliance Laundry, established in 1908, is a manufacturer of commercial washing machines, dryers, and ironers with up to 400-pound load capacity in five brands, such as Speed Queen, UniMac, Huebsch, Primus, and IPSO.
Reuters reported that the stock market sale follows a sale bid that the owner of the company, BDT & MSD Partners, had previously considered a company sale that might have valued the company at a price of almost $5 billion, including debt.
In the Ontario Teachers’ Pension Plan, the majority stake in Alliance Laundry was flipped by the pension scheme to the BDT capital partners in 2015.
Capital International and Kayne Anderson Rudnick are the cornerstone investors that have shown interest in purchasing up to $100 million worth of Alliance Laundry shares.
The lead underwriters of the offering are BofA Securities and J.P. Morgan; Alliance Laundry will be listed on the New York Stock Exchange as “ALH”.
The Alliance Laundry will be sharing 76 percent of its shares with BDT Capital Partners, an affiliate of merchant bank BDT & MSD Partners, after the offering.
