ProFrac prices IPO below target range to raise $288 million (updated)
13/05/2022 24:27
(Adds details on IPO, background)
May 12 (Reuters) - ProFrac Holding Corp PFHC.O , an
oilfield services company backed by billionaires Dan and Farris
Wilks, priced its initial public offering at $18 per share, well
below its target range, valuing the firm at $1.7 billion.
The company had earlier set the indicative price range at
between $21 and $24 apiece.
ProFrac's listing, which raised $288 million from the issue
of 16 million new shares, comes in a rocky year for U.S. capital
markets and underscores the challenges facing IPO-bound Reddit
Inc and Mobileye, the self-driving car unit of Intel Corp
INTC.O .
Several companies have postponed or shelved their U.S.
listing plans as the Russia-Ukraine war and the prospect of
aggressive rate hikes from the Federal Reserve roil global
markets.
Excelerate Energy's IPO in April was a bright spot, however,
as the provider of floating liquefied natural gas (LNG)
terminals benefited from the war boosting energy prices and
driving up demand for LNG. urn:newsml:reuters.com:*:nL3N2WB31R
Founded in 2016, ProFrac provides hydraulic fracturing
services with operations primarily focused in Texas, Louisiana,
Oklahoma, Uinta and the Appalachian regions.
J.P. Morgan, Piper Sandler and Morgan Stanley were the lead
underwriters for the offering.
(Reporting by Juby Babu and Mehnaz Yasmin in Bengaluru; Editing
by Shailesh Kuber and Devika Syamnath)
((Juby.Babu@thomsonreuters.com;))