In its stock market debut on Thursday, TPG shares rose nearly 12 percent and the company valued the 30-year-old private equity giant at more than $ 10 billion as the company went public to raise funds to boost the buying industry’s revenue due to the pandemic.
TPG is looking to expand its franchise to other areas, such as credit and infrastructure, CEO John Winkelrid said in an interview with Acesparks.
“We will continue to build the business the way we have historically – organically grow, see opportunities and build it,” he said.
TPG’s stock market debut came a decade after many of its major peers went public. The firm spent years to get rid of the poor investment of the 2000s and diversify its private equity platform into growth and social impact investments.
The company has about $ 109 billion in assets under management and invests in companies such as Airbnb Inc., Spotify Technology SA, Burger King and McAfee Corp.
Founded in 1992 by David Bonderman and Jim Coulter, TPG was launched as a Texas Pacific group in California’s Mill Valley. Its first major investment was made in 1993 by then-bankrupt Continental Airlines.
Known for its leverage, TPG has invested in everything from retail to healthcare.
Shares of Fort Worth, Texas, opened at $ 33. TPG and its selling shareholders sold 33.9 million shares, valued at $ 29.50 each, which is the midpoint of its target price range of $ 28 and $ 31 each, valued at about $ 1 billion. .
In the nine months ended September 2021, TPG’s net income more than doubled to $ 1.7 billion. Its revenue rose to $ 3.89 billion from $ 564.4 million last year.
JP Morgan, Goldman Sachs, Morgan Stanley, TPG Capital BD LLC and BofA Securities are the leading underwriters in the offerings.