APi Group drops on stock offering

APi

17/04/2024 13:12

** APi Group Corp's  AGP.N  shares down 5.1% at $37.11
premarket after construction and engineering co's overnight
follow-on priced
    ** Co announces 11 mln shares at $37.50 for $412.5 mln gross
raise with Citi, BofA and UBS as jt lead bookrunners
    ** Offering price represents 4.1% discount to stock's last
sale
    ** APi plans to use net offering proceeds for general
purposes, including capex, working capital and acquisitions
    ** Early Mon, co announced accretive purchase of
elevator/escalator services firm Elevated Facility Service for
$570 mln in cash
    ** It also updated Q1 guidance, including expected rev of
$1.59-$1.61 bln vs Street consensus est of $1.59 bln
    ** Post offering, APi has ~272.6 mln shares outstanding, per
the SEC prospectus filing
    ** Through Tues close, APG shares up 13% YTD and up ~80%
over the past 12 months. Stock hit record intraday high of
$39.98 last week

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))