Resources Connection Hopes IPO Generates $59 Million
Resources Connection Inc., which provides accounting and other specialists to corporate clients, has set an initial public offering of 6.5 million common shares in a range of $12 and $14 apiece.
The Costa Mesa company disclosed the figures in a report filed Wednesday with the Securities and Exchange Commission. It originally filed plans in early September to go public.
Resources Connection is selling 5 million shares while various stockholders, including Evercore Partners LLC, are selling the other 1.5 million, it said.
The company predicts it will net about $59.3 million in proceeds if its 5 million shares sell for $13 each. It will not get proceeds from the stock sold by investors.
Resources said it plans to use the money to repay debt, for working capital and other general corporate purposes.
Resources has applied for a listing on the Nasdaq market under the symbol RECN and will have 20.6 million common shares outstanding when the IPO is completed.
The company was founded as a division of Deloitte & Touche in June 1996. There was a management-led buyout last year, and Resources is now an independent company no longer affiliated with Deloitte, one of the largest U.S. accounting and consulting firms.
Credit Suisse First Boston and Deutsche Banc Alex Brown are the lead managers of the offering. They will be assisted by Robert W. Baird. The underwriters have an option to buy 975,000 more shares to cover any over-allotments.
