The KCIN saga, continued. New year, new IPO terms, same old story:
A reverse split even before the company hit the market? Looks so..., but to be fair, now a larger chunk of the offering goes to KCIN than to the current shareholder, KPMG. But CSCO gets more money for their preferred shares, 400MM (up from 215MM).
KPMG Consulting amends IPO terms
(UPDATE: Adds details throughout)
WASHINGTON, Jan 18 (Reuters) - KPMG Consulting Inc. on Thursday lowered the number of common shares in an initial public offering to 112 million from 354.6 million while raising the price range to $16-$18 apiece from $6.75-$8.75.
The McLean, Va.-based company, one of the world's largest consulting firms providing business and technology strategy, systems integration and other services, disclosed the IPO changes in a Securities and Exchange Commission filing.
A spokesman for the company declined to comment on the new terms.
It was not immediately known when the share would debut, but the company said it has received approval for a Nasdaq listing under the symbol ``KCIN'' (Nasdaq:KCIN - news).
The IPO is being managed by Morgan Stanley Dean Witter. Newly added to the list of underwriters were Goldman Sachs, J.P. Morgan and Merrill Lynch, the SEC filing showed.
KPMG Consulting is offering about 29 million of the 112 million IPO shares while its parent, KPMG LLP, is offering more than 83 million.
The parent is one of the Big 5 U.S. accounting firms, along with Arthur Andersen, Deloitte & Touche, Ernst & Young and PricewaterhouseCoopers.
On Jan. 31, 2000, KPMG LLP transferred its consulting business to the company.
When the IPO is completed, KPMG Consulting said it will not be a member of KPMG International, the worldwide association of independent professional services firms that share the KPMG name.
KPMG Consulting plans to use about $400 million of the money it raises from the IPO to repurchase its preferred stock held by Cisco Systems Inc. (NasdaqNM:CSCO - news) that will not be converted into common stock.
The company has joint marketing and product development deals with Cisco, Oracle Corp. (NasdaqNM:ORCL - news) and others.
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Former KCIN changes:
KPMG IPO Raised to 367 Million Shares
Message 14452214
reduced the number of common shares to be sold ... to 354.6 million Message 15075751 |
