McAfee this week set the terms for its initial public offering (IPO), announcing that it’s offering roughly 31 million of its own shares.
The company revealed in an S-1 form filed with the U.S. Securities and Exchange Commission that it’s offering a total of 37 million shares, including roughly 6 million from stockholders. McAfee says it will not get any of the proceeds from the sale of stockholder shares.
It expects the IPO price to range between $19 and $22 per share, which could earn McAfee up to $682 million and stockholders another $132 million, for a total of $814 million. This would value the company at $9.5 billion.
Some experts previously estimated that the IPO could help the company raise up to $2 billion.
McAfee wants to list its stock on Nasdaq under the symbol MCFE.
Barron’s reported that McAfee plans on pricing the IPO on October 21 and it will start trading the following day.
McAfee was acquired by Intel in 2010 for $7.68 billion and in 2014 the chipmaker announced that McAfee would become Intel Security. In 2016, Intel decided that McAfee would again become an independent company after TPG Capital acquired a 51% stake.
McAfee claims its products protect over 600 million devices and its solutions are used by many Fortune 100 companies. The company says its net revenue increased from $1.9 billion in 2011 to $2.6 billion in 2019. For the first half of 2020, it reported a net revenue of $1.4 billion and a net income of $31 million.
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