NEW YORK (TheStreet) -- Shares of AerCap Holdings (AER) were falling 2.6% to $49.05 on heavy trading volume Thursday after the aircraft leasing company announced the pricing of the secondary offering of 71,184,686 ordinary shares sold by AIG (AIG).
AerCap set the price of the 71,184,686 shares at $49 a share. The underwriters of the offering will have a 30-day option to buy up to 10,677,702 additional ordinary shares.
The size of the secondary offering was increased from its original size of 50 million ordinary shares.
AerCap said it will also repurchase 15,698,588 ordinary shares from AIG for $750 million, or about $47.77 a share.
AIG is expected to no longer beneficially own any AerCap ordinary shares following the offering.
About 9.1 million shares of AerCap were traded by 9:46 a.m. Thursday, well above the company's average trading volume of about 967,000 shares a day.
TheStreet Ratings team rates AERCAP HOLDINGS NV as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate AERCAP HOLDINGS NV (AER) a HOLD. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, impressive record of earnings per share growth and compelling growth in net income. However, as a counter to these strengths, we find that the company has favored debt over equity in the management of its balance sheet."