Caribbean telecom company Digicel to raise up to $2 billion from IPO

In a filing with USA regulators, Digicel said it plans to sell just over 142 million shares at a price of between $13 and $16 per share.

Digicel’s owner, Irish billionaire Denis O’Brien, will continue to own all of the group’s Class B shares and control around 94 percent of the voting power after the IPO. The disclosure of the price range means that it’s likely that Digicel will list on the exchange over the next week to 10 days.

The underwriters for the offering are JPMorgan, UBS Investment Bank, Citigroup, Barclays, Credit Suisse, Deutsche Bank and Davy Group. Each class A common share will be entitled to one vote.

The mobile technology company with a focus in the Caribbean and South Pacific will raise $1.798B at the mid-point of the range.

The company also offers communication services to businesses and governments, and cable TV and broadband services.

For the year to March, Digicel reported adjusted earnings before interest, taxes, depreciation and amortisation of $1.18 billion, on revenue of $2.79 billion. It will use the remainder for things such as capital spending and acquisitions. Revenue came in at $669.7M for the three months ending on June 30.