Sun Country Airlines (NASDAQ:SNCY) launched its initial public offering (IPO) today and we’re going over all the details that potential investors in the stock need to know.
Starting off, Sun Country Airlines is an airline company that handles flights from its headquarters in the Twin Cities of Minneapolis/St. Paul. It offers flights to more than 50 destinations in North America, Central America, and the Caribbean. The airline offers passengers over 80 routes to choose from.
Keeping that in mind, let’s take a look at everything investors need to know about the Sun Country Airlines IPO.
- The IPO has Sun Country Airlines offering up shares of SNCY stock on the Nasdaq Exchange.
- The IPO includes 9,090,909 available to investors.
- There’s also an option for underwriters to purchase an additional 1,363,636 shares at the IPO price.
- The company set a price of $24 per share for its IPO.
- However, when shares hit the market on Wednesday they jumped well above that price to roughly $33 per each.
- Sun Country Airlines is expecting to generate at least $218.2 million from the IPO and as much as $250.9 million if underwriters fully exercise their purchase options.
- The company also already has plans for the cash it will get from its IPO.
- It expects to use the funds to completely pay off the loans it acquired from the CARES Act, as well as cover fees and expenses for the offering.
- After that, the company says the rest of the money will be used for general purposes.
- The joint lead book-runners of the IPO are Barclays (NYCE:BCS), Morgan Stanley (NYSE:MS), and Deutsche Bank Securities.
- Joint book-runners for the offering are Goldman Sachs (NYSE:GS) and Nomura (NYSE:NMR).
- Co-managers for the IPO include Apollo Global (NYSE:APO), AmeriVet Securities, Siebert Williams Shank, and Tribal Capital Markets.
SNCY stock was up 43.7% as of Wednesday afternoon.
SNCY is joined by a handful of other companies that have gone public via IPO lately.
It looks like IPOs are gaining some steam again after a rise in companies choosing SPACs to go public. That’s resulted in quite a few holding offerings recently. Some of the big IPO names of late include Olo (NYSE:OLO), Roblox (NYSE:RBLX), Coupang (NYSE:CPNG), and Joann (NASDAQ:JOAN).
More Recent IPO Coverage From InvestorPlace.com:
- Olo IPO: 11 Things for Potential Investors to Know as OLO Stock Starts Trading
- Missed Out on the RBLX Stock IPO? There’s Still Time to Buy In
- RBLX Stock: Cathie Wood Gives Shares a Big Boost After the Roblox IPO
- Try an E-commerce Giant in a Different Geography With Coupang
- JOAN Stock IPO: 14 Things to Know as Joann Fabric Starts Trading
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.