SunGard has announced that it has filed a registration statement on Form S-1 with the U.S. Securities and Exchange Commission relating to a proposed initial public offering of its common stock. The number of shares to be offered, the price range and the stock exchange listing for the proposed offering have not yet been determined.
SunGard, which has more than 15,000 customers, mainly provides trading and investment management software, it was acquired for $11.4 billion in 2005 by seven private equity firms.
SunGard had hired investment banks for the IPO, JP Morgan, Barclays and Goldman Sachs are among the underwriters that could value the company at up to $10 billion, including debt. SunGard reported a 1.7 percent rise in revenue to $2.8 billion for the year ended Dec. 31. The company posted a net loss of $222 million, compared with a profit of $62 million a year earlier. The amount of money a company says it plans to raise in its first IPO filings is used to calculate registration fees. The final size of the IPO could be different.
SunGard’s owners, Bain Capital Partners, The Blackstone Group, Goldman, Sachs, KKR, Providence Equity Partners, Silver Lake Partners and TPG Capital, say they will continue to hold a majority of the voting power of all outstanding shares following the IPO, designating the business as a “controlled company”.