NewsFirst Data Announces its IPO Pricing

First Data announced the pricing of its initial public offering (IPO) of 160,000,000 Class A common stock shares. The price has been set at $16.00 per share. The shares are trading at the NYSE from October 15, 2015, (under the ‘FDC’ symbol) and close on October 20, 2015, depending upon customary closing conditions. The company has granted its underwriters a 30-day option of purchasing an additional 24,000,000 Class A common stock shares at the IPO price.

First Data is set to receive approximately $2.5 billion net proceeds after deducting underwriting discounts and commissions. It intends to use the proceeds to redeem the $510 million and $1.6 billion aggregate principal amounts of its 11.25% and 12.625% senior unsecured notes due 2021, respectively. Besides, the proceeds will also be used to pay applicable premiums, related fees and expenses, and also used towards general corporate purposes.

According to a release, BofA Merrill Lynch, Citigroup, KKR and Morgan Stanley are acting as the representatives of the underwriters and joint bookrunning managers of the offering, while Cowen and Company, Allen & Company LLC, and BBVA are acting as co-managers of the offering. The bookrunners of the offering are Barclays, Credit Suisse, Mizuho Securities, HSBC, PNC Capital Markets LLC, Goldman, Sachs & Co, Deutsche Bank Securities, Wells Fargo Securities and SunTrust Robinson Humphrey.

A registration statement, including a prospectus, relating to First Data Class A common stock shares offering has been declared effective by U. S. Securities and Exchange Commission. The securities will be offered only by means of a prospectus.