Garrett Motion Inc. has announced a secondary public offering of 17,000,000 shares of the company’s common stock, with the underwriters having a 30-day option to purchase an additional 2,550,000 shares. The selling stockholders, managed by affiliates of Oaktree Capital Management, L.P., Centerbridge Partners, L.P., and Cyrus Capital Partners, L.P., will receive all the net proceeds from the proposed offering.
As part of the secondary public offering, Garrett has authorized the concurrent purchase of approximately 2 million shares of common stock, subject to a maximum aggregate repurchase amount of $25 million. This repurchase is part of the company’s existing $250 million share repurchase program. The underwriters will not receive any compensation for the shares being repurchased by the company pursuant to the repurchase.
Goldman Sachs & Co. LLC and J.P. Morgan Securities LLC are acting as the lead bookrunners and representatives of the underwriters, with Deutsche Bank Securities Inc., Wells Fargo Securities, BNP Paribas Securities Corp., BofA Securities, RBC Capital Markets, LLC, and Stifel, Nicolaus & Company, Incorporated acting as joint bookrunning managers for the proposed offering.
A shelf registration statement relating to these securities has been filed with the Securities and Exchange Commission (SEC) and is effective. A preliminary prospectus supplement has also been filed with the SEC.
Before investing, interested parties are advised to read the shelf registration statement, preliminary prospectus supplement, and other documents filed with the SEC for information about Garrett and the offering. These documents can be obtained for free by visiting the SEC’s website or by contacting the lead bookrunners and representatives of the underwriters.
This press release emphasizes that it shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. Today the company's shares have moved -0.42% to a price of $11.90. For more information, read the company's full 8-K submission here.
