NEW YORK (Aug. 12)—K&F Industries Holdings Inc., parent of calendered products maker Engineered Fabrics Corp., launched an initial public offering Monday valued at about $300 million.
The firm offered 18 million shares at a launch price of $17.50 a share. K&F´s IPO follows its acquisition last November by an affiliate of Aurora Capital Group, which paid $1.06 billion for the maker of aircraft wheels and braking systems and took it private.
In its launch prospectus, K&F said it intends to use approximately $60.6 million of the net proceeds to redeem its senior PIK notes and approximately $182.3 million to redeem all of the issued and outstanding shares of junior preferred stock.
It will use the remaining net proceeds, together with cash on hand, to pay a special cash dividend of approximately $102.8 million to its common stockholders of record immediately prior to this offering.
K&F reported sales last year of $353.3 million, with Engineered Fabrics—a producer of flexible bladder fuel tanks for aviation purposes—contributing about $43 million.