Primo Brands Corporation today announced the pricing of a secondary offering by an affiliate of One Rock Capital Partners, a selling stockholder, of 45,000,000 shares of the company's Class A common stock at $29.50 per share. The selling stockholder will receive all net proceeds from this offering, as no shares are being sold by Primo Brands itself. The offering is expected to close on March 12, 2025.
Concurrently, Primo Brands has agreed to purchase 4,000,000 shares of its Class A common stock from the underwriters at the same per-share price paid by the underwriters to the selling stockholder in the offering. The company intends to fund this share repurchase with cash on hand. This repurchase is conditioned on, and expected to occur simultaneously with, the closing of the secondary offering.
This transaction involves a significant divestment by a major shareholder, One Rock Capital Partners, through the secondary offering. However, the company's decision to repurchase 4 million shares demonstrates a commitment to managing its share count and potentially mitigating the dilutive impact of the large block sale.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.