Israel firm IC Power Pte Ltd., a subsidiary of Idan Ofers Kenon Holdings (TASE: KEN; NYSE; KEN), will file for an IPO on the New York Stock Exchange. The company hopes to raise $400 million from its sale of shares.
According to Forbes, Idan Ofer has a net worth of $3 billion. Ofer has a 50 percent stake in Kenon Holdings.
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IC Power, which currently has 80 million shares outstanding, all of which are owned by Kenon Holdings, will offer 25.9 million new ordinary shares, representing approximately 25 percent of its total outstanding ordinary shares, at a currently estimated initial public offering price between of $12 to $15 per ordinary share. The company will also grant the underwriters an option to purchase up to an additional 3,885,000 of IC Power’s ordinary shares to settle over-allotments.
If IC Power raises the $400 million hoped, this would give the company a valuation of $1.6 billion, much less than the $2 billion it had hoped for from its IPO. The company had also planned to already hold its IPO last year.
IC Power’s ordinary shares have been approved for listing on the New York Stock Exchange under the ticker symbol “ICP”. The company says that it intends to use the new infusion of capital to to develop greenfield projects, acquire companies or assets in the electricity sector (e.g., generation, transmission or distribution companies or assets), and to complete IC Power’s full repayment of notes in an aggregate amount of $220 million previously issued to Kenon.
IC Power is a developer and operator of power generation facilities in rapidly-growing power generation markets such as in Latin America and the far East.
Its portfolio consists of a number of operating facilities including two under construction, and numerous projects at various stages of development. Assets are located throughout power generation markets in Israel, the Caribbean and Latin America, including Peru, Chile and Colombia. IC Power is a leader in its core market, Peru, one of the fastest growing economies in Latin America.
