StandardAero Announces 30 Million Share Secondary Offering by Carlyle Group and GIC Affiliates
StandardAero, Inc. (NYSE: SARO) (“StandardAero” or the “Company”) has announced that two of its principal stockholders, affiliates of The Carlyle Group Inc. and GIC Private Limited, intend to sell a substantial portion of their holdings in a secondary underwritten public offering. The proposed sale includes an aggregate of 30,000,000 shares of the Company’s common stock, with a par value of $0.01 per share (the “Common Stock”). Additionally, the Selling Stockholders are expected to grant the underwriters a 30-day option to purchase up to an additional 4,500,000 shares, bringing the total potential shares available in the offering to 34,500,000.
The offering will be executed solely by the Selling Stockholders, meaning that StandardAero itself will not be selling any shares and will not receive any proceeds from the transaction. Instead, the Selling Stockholders will retain all net proceeds from the sale.
Underwriters and Offering Details
Leading financial institutions J.P. Morgan, Morgan Stanley, and RBC Capital Markets have been appointed as joint lead book-running managers for the offering. These firms will oversee the transaction, ensuring compliance with regulatory requirements and facilitating the sale of shares to institutional and retail investors.
The shares will be made available exclusively through an official prospectus, which is accessible through designated channels. Interested investors may obtain a preliminary prospectus from:
- J.P. Morgan Securities LLC: c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717, or via email at [email protected].
- Morgan Stanley & Co. LLC: Attn: Prospectus Department, 180 Varick Street, 2nd Floor, New York, NY 10014.
Regulatory Compliance and Market Conditions
A registration statement on Form S-1 related to the offering has been filed with the U.S. Securities and Exchange Commission (SEC) but is not yet effective. As a result, no sales may take place, nor can offers to buy be accepted, until the SEC formally approves the registration statement. This measure ensures that the offering adheres to regulatory guidelines and provides investors with essential disclosures regarding the Company and its stock.
It is important to note that this press release does not constitute an offer to sell or solicit an offer to buy these securities. Furthermore, no sale will take place in any jurisdiction where such an offer, solicitation, or sale would be considered unlawful before proper registration or qualification under applicable securities laws.
The finalization of this offering is contingent on prevailing market conditions and other factors. Therefore, while the Selling Stockholders intend to proceed with the offering, there are no guarantees regarding its completion, the final number of shares sold, or the pricing of the shares.
Impact on StandardAero’s Market Position
Despite the scale of this secondary offering, StandardAero remains financially stable, with strong fundamentals and a robust position in the aerospace engine aftermarket services industry. The company continues to focus on long-term growth, strategic partnerships, and innovation in maintenance, repair, and overhaul (MRO) services.
About StandardAero
StandardAero is a globally recognized, independent provider of aerospace engine aftermarket services, specializing in fixed- and rotary-wing aircraft. The company serves a diverse clientele across commercial, military, and business aviation markets. StandardAero’s comprehensive suite of solutions includes:
- Engine Maintenance, Repair, and Overhaul (MRO): Ensuring optimal performance and longevity of aircraft engines.
- Component Repair and Engineering Services: Offering specialized repairs and advanced engineering support.
- On-Wing and Field Service Support: Providing rapid-response maintenance solutions to minimize aircraft downtime.
- Asset Management and Lifecycle Optimization: Helping customers maximize fleet efficiency and reduce operational costs.
With a legacy of excellence in aerospace engineering and a commitment to technological advancements, StandardAero continues to be a trusted partner for airlines, military operators, and business jet owners worldwide.
The announcement of this significant secondary offering by affiliates of The Carlyle Group and GIC Private Limited marks a notable development in StandardAero’s journey as a publicly traded company. While the offering will not impact StandardAero’s financials directly, it reflects the confidence of major institutional investors in the company’s long-term prospects. The transaction is expected to enhance the stock’s liquidity, offering new investment opportunities to both retail and institutional investors.
As the offering progresses through regulatory approvals and market conditions unfold, investors and stakeholders will closely monitor its implications for StandardAero’s stock performance and overall market dynamics.