Key Takeaways
- McGraw Hill is set to go public after announcing Monday that its initial public offering will be priced between $19 and $22 per share.
- That range would value the textbook maker at around $4 billion.
- The education company was previously public as part of McGraw-Hill Companies, which has since been rebranded to S&P Global, before being bought and taken private in 2012.
McGraw Hill on Monday said it plans to price its initial public offering between $19 and $22 per share, raising up to about $536.6 million and valuing the company around $4 billion.
The maker of textbooks and other educational material filed for its IPO last month, announcing its intention to trade on the New York Stock Exchange under the “MH” ticker.
The company used to be public as part of the McGraw-Hill Companies conglomerate that is now called S&P Global (SPGI), and was taken private by Apollo Global Management for $2.5 billion in a deal announced in late 2012. The publisher was nearly re-listed on the public markets in 2015, per Reuters, and again sold to another private equity firm, Platinum Equity, in 2021 for $4.5 billion.
In its S-1 prospectus filing, McGraw Hill said it generated $2.10 billion and $1.96 billion in revenue over its last two fiscal years, which end on March 31, while recording net losses of $85.84 million and $193.02 million, respectively, with adjusted profits of $202.35 million and $180.02 million.
The company said it plans to use the proceeds from the IPO to pay off some of its debts, and said it does not plan to pay dividends on its shares once it goes public.
The McGraw Hill filing comes on the heels of a solid first half of the year for IPOs with debuts from the world of cryptocurrency, financial technology, and health care providers, with others like design software maker Figma also recently filing to join the public markets.