NEW YORK (
private equity ownership group will see a windfall in the value of its investment when the Florida bank completes its initial public offering on Friday, according to a
WL Ross & Co
are selling partial stakes in the bank, which they took control of after it was shut down by the
Federal Deposit Insurance Corp.
In total, the buyout firms invested about $900 million in the bank.
BankUnited plans to raise up to $656.3 million in the offering. The bank is selling roughly 4 million shares, while the private equity firms and bank executives are offering another 22.25 million shares. The bank's expected price range for the shares is between $23 and $25, according to a regulatory filing with the
Securities and Exchange Commission
, citing people familiar with the matter, said it's likely the deal will price above that range.
Based on the caculations done by
, the current owners paid $10.01 a share for the bank. The roughly 19.4 million shares being offered by the buyout firms would be worth $484.3 million, the report says, giving the firms a profit of $290.4 million. The value of their remaining stakes would swell accordingly to roughly $875.6 million. In total, the firms could see a gain as high as $1.2 billion on their investment,
A strong debut from BankUnited could
--Written by Maria Woehr in New York.
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