BUZZ-StandardAero drops after $1.6 bln secondary offering by Carlyle, GIC

Reuters01-28
BUZZ-StandardAero drops after $1.6 bln secondary offering by Carlyle, GIC

** Aircraft maintenance firm StandardAero SARO.N shares down 5.6% at $31.25 before the bell after $1.55 bln secondary offering priced

** Scottsdale, Arizona-based SARO late Tues announced 50 mln shares offloaded by private equity firm Carlyle CG.O and Singapore's sovereign wealth fund GIC at $31

** Offering price represents 6.4% discount to last sale

** In addition, SARO to repurchase $50 mln of stock from a selling shareholder in concurrent private placement

** Prior to the offering, Carlyle owned ~152.7 mln shares for 45.6% stake, and GIC held ~34.5 mln shares, or 10.3% of SARO's ~334.5 mln shares outstanding, per the prospectus

** Morgan Stanley, JP Morgan and RBC, BofA, Jefferies and UBS joint lead bookrunners

** Through Tues close, SARO shares up ~15% to begin 2026

** Co went public in Oct 2024 IPO priced at $24

** 8 of 11 analysts rate the stock "strong buy" or "buy", 3 "hold"; median PT $37, per latest LSEG data

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))

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