Intel Capital has raised more than $160m through selling part of its holding in Smart Technologies, a Canada-based maker of interactive education products with 48% of the global market.
The Smart initial public offering raised $660m in its venture-backed flotation having priced 38.8 million shares at $17 each. After fees, Intel sold 10 million shares at $16.11 each as the company began trading on both the Nasdaq and Toronto stock exchanges.
In total after fees, Smart received $141.8m and selling shareholders received $483.7m.
Smart’s flotation could raise nearly another $100m for shareholders and the company if the over-allocation is used over the next month. The company has allowed the bankers to sell a further 5.8 million shares in this "greenshoe" process.
Apax Partners acquired 49.9% of Smart Technologies in 2007 for an enterprise value of $889m. Intel Capital owned 25.05% having sold some shares to Apax after forming a strategic alliance with Smart in 1992. After the listing, Intel retained 14.1% of the equity and Apax 28.1%.
Smart’s cofounders, David Martin and Nancy Knowlton together through their IFF vehicle for holding their shares, own the remaining stake.
The company had $648m in revenue for the 12 months to March 30, up 38.4% from the previous financial year, with net income of $142m.
Morgan Stanley, Deutsche Bank and RBC Capital Markets were co-lead underwriters on the flotation.