NEW BRIGHTON, Minn. - APi Group Corporation (NYSE:APG), a global provider of life safety, security, and specialty services, announced today its plan to launch an underwritten public offering of 11,000,000 shares of its common stock. The company also intends to offer the underwriters a 30-day option to purchase additional shares.
The proceeds from the sale, which is contingent on market conditions, are intended for general corporate purposes. These may include capital expenditures, working capital, and potential acquisitions. There is no guarantee of the offering's completion, its size, or terms.
Citigroup, BofA Securities, and UBS Investment Bank have been named as the joint book-running managers for the offering. The shares are being offered pursuant to an automatic shelf registration statement filed with the Securities and Exchange Commission (SEC) on May 4, 2023, which became effective immediately.
Investors can obtain copies of the preliminary prospectus from the SEC's website or directly from the managing banks once it is available. The final terms will be outlined in a final prospectus supplement to be filed with the SEC.
APi Group operates over 500 locations worldwide and is known for its recurring revenue base and long-term customer relationships across various industries. The company emphasizes that this press release does not constitute an offer to sell or a solicitation of an offer to buy the securities.
The press release includes forward-looking statements subject to various factors that could cause actual results to differ from projected outcomes. APi and the underwriters must meet certain conditions to close the offering. Investors are advised to review risk factors and other documents filed by APi with the SEC, including the company's annual report for the fiscal year ended December 31, 2023.
This news is based on a press release statement from APi Group Corporation.
InvestingPro Insights
Amidst APi Group Corporation's (NYSE:APG) announcement of a public offering, InvestingPro data and insights provide a deeper look into the company's financial health and market performance. APG has demonstrated significant market activity with a notable 86.21% one-year price total return as of the latest data, showcasing a strong performance over the past year.
While the company operates with a negative P/E ratio of -57.04, indicating that it is currently unprofitable, analysts have a positive outlook.
According to InvestingPro tips, APG is expected to see net income growth this year, and five analysts have revised their earnings upwards for the upcoming period. This optimism is further supported by the company's revenue growth, which stands at 5.64% for the last twelve months as of Q1 2023.
APG's stock price movements have been quite volatile, but the company is trading near its 52-week high, at 99.05% of this peak. This could signal investor confidence or a potential overvaluation, depending on broader market trends and the company's forthcoming financial results.
The next earnings date is set for May 2, 2024, which will be a pivotal moment for investors to assess the company's trajectory.
For those interested in a comprehensive analysis, InvestingPro offers additional insights, including a perfect Piotroski Score of 9 for APG, indicating strong financial health. To explore these metrics further and access more InvestingPro Tips, visit https://www.investing.com/pro/APG. Remember to use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, and discover the 15 additional tips available to guide your investment decisions.
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