Continental Building Products prices IPO at $14/shr-underwriter
Feb 4 (Reuters) - Private equity-owned Continental Building Products Inc's initial public offering was priced at $14 per share, an underwriter told Reuters, significantly below its expected range of $16-$18.
The company, created after the sale of Lafarge SA's North American gypsum business, raised $165.2 million and sold all the 11.8 million shares in the offering. At the listing price, the company is valued at about $617 million.
Continental Building Products's only stockholder, LSF8 Gypsum Holdings LP, which had earlier planned to sell 1.5 million shares, did not sell any shares in the offering, the underwriter said.
France's Lafarge sold its gypsum business in North America to U.S. investment firm Lone Star for $700 million in June as part of the cement maker's efforts to shed non-core assets to cut debt.
Reston, Virginia-based Continental Building Products, whose operations are concentrated in the eastern United States and Canada, manufactures gypsum wallboard, primarily used in new residential and commercial construction.
Citigroup and Credit Suisse were joint book-running managers for the offering.