- Stock closed first day of trading up nearly 12% at $24.60 vs IPO price of $22
- Offering raised more than $400 million in Ingram Micro’s return to public markets
Executives from Platinum Equity-backed Ingram Micro (INGM.N) rang the bell at the New York Stock Exchange (NYSE) on Thursday, October 24 to celebrate the global technology distributor’s return to the public markets.
Ingram Micro’s initial public offering (IPO) priced the day before at $22 per share, which was at the middle of its marketed range, with Ingram Micro and affiliates of Platinum Equity selling 18.6 million shares in total. The IPO raised $409 million.
“We were well over-subscribed, and we got great investor response about the opportunity that lies in front of us,” Ingram Micro CEO Paul Bay told Bloomberg. “We’ve already repaid since April of 2022 $1.3 billion, and we’ll use the primary proceeds to continue to pay down debt.”
The offering was led by Morgan Stanley, Goldman Sachs and J.P. Morgan Securities.
After the first day of trading, the company’s shares closed at $24.60 each, giving Ingram Micro a market value of $5.8 billion, based on the company’s outstanding shares.
Platinum Equity remains the company’s largest shareholder.
“Congratulations to the entire team at Ingram Micro. They have been an outstanding partner, and we are proud of the progress we have made together over the last four years. We are very confident in Ingram Micro’s ability to be a great public company.”
Jacob Kotzubei, Co-President, Platinum Equity
“Congratulations to the entire team at Ingram Micro,” Platinum Equity Co-President Jacob Kotzubei said. “They have been an outstanding partner, and we are proud of the progress we have made together over the last four years. We are very confident in Ingram Micro’s ability to be a great public company.”
Founded in 1979 and headquartered in Irvine, Calif., Ingram Micro is one of the world’s leading technology distributors, connecting IT suppliers with thousands of businesses across the globe.
Its extensive portfolio includes products and services in cloud computing, cybersecurity, infrastructure, and supply chain solutions from 1,500 vendors to more than 161,000 customers.
Ingram Micro first went public in 1996 and traded on the NYSE until 2006 when it was taken private by Chinese conglomerate HNA Group. Platinum Equity acquired Ingram Micro as a carveout from HNA in 2021.
“Platinum Equity has been a great partner. We accelerated our investments around our AI-enabled digital experience platform we call XVantage, and they were actually making sure we were leaning in to accelerate that investment.”
Paul Bay, CEO, Ingram Micro
“Platinum Equity has been a great partner,” Bay told Bloomberg TV. “We accelerated our investments around our AI-enabled digital experience platform we call XVantage, and they were actually making sure we were leaning in to accelerate that investment.”
During Platinum Equity’s ownership, Ingram Micro embarked on a comprehensive operational improvement plan, accelerated its digital transformation initiatives, and used buy and sell-side M&A to sharpen the company’s focus on its core business.
In 2022, Ingram Micro sold most of its Commerce & Lifecycle Services (CLS) division to the French shipping and logistics giant CMA CGM for approximately $3 billion.
In late 2021 Ingram Micro acquired BRLink, a leading managed services provider in Brazil and in early 2022 acquired Keenendots, a pure play Commerce Platform-as-a-Service business in The Netherlands.