* Prices shares at $21/shr vs $18-$20 range -underwriter
* Sells 11.4 mln shrs, raises about $239.4 mln -underwriter
(Adds details on second attempt at IPO, Apollo, IPO market)
By Clare Baldwin
NEW YORK, April 8 (Reuters) - Metals USA Holdings Corp (MUSA.N) priced shares in its initial public offering above the expected range on Thursday, according to an underwriter.
Ft. Lauderdale, Florida-based Metals USA sold 11.4 million shares for $21 each, raising about $239.4 million. It had planned to sell about 10.5 million shares for $18 to $20 each.
Metals USA is a metals service center and sells processed carbon steel, stainless steel, aluminum, red metals and manufactured metal parts to customers in North America.
In 2009, it sold 912,000 tons of cut, sawed, punched, shot blasted, surface ground and drilled metal products that were used in everything from appliances and industrial equipment to defense products.
Net sales fell 49 percent to $1.1 billion in 2009 and net income fell more than 95 percent to $3.5 million.
The company said demand for steel and other metals fell off sharply in the third quarter of 2008 as the global financial crisis pinched production and companies sought to sell off excess inventory.
This is the second time Metals USA has tried to go public. It first filed with the U.S. Securities and Exchange Commission for an IPO in May 2006 but withdrew its filing in October 2007. It refiled in May 2008.
Metals USA is 93 percent owned by private equity firm Apollo Management LP [APOLO.UL]. Apollo planned to sell 1.6 million of its 23.7 million shares in the IPO. After all of the share sales associated with the IPO, Apollo was expected to retain a stake in the company of just over 60 percent, according to the most recent prospectus.
Private equity firms have been taking advantage of improved stock market conditions to take investments public after a long drought.
Metals USA said proceeds will be used to repay 2007 notes and for general corporate purposes.
Underwriters were led by Goldman, Sachs & Co, Credit Suisse, JPMorgan, Morgan Stanley and Jefferies & Co. It is expected to begin trading on the New York Stock Exchanges on Friday under the symbol “MUSA.”
Reporting by Clare Baldwin; Editing by Leslie Gevirtz, Phil Berlowitz