(Reuters) -TPG shares rose nearly 12% in their stock market debut on Thursday, valuing the 30-year-old private equity giant at more than $10 billion, after the company went public to cash in on a pandemic-driven boost to the buyout industry’s profits.
The Fort Worth, Texas-based company’s shares opened at $33. TPG and its selling shareholders sold 33.9 million shares priced at $29.50 each, the mid-point of its target price range of $28 and $31 apiece announced earlier, raising about $1 billion.
TPG’s stock market debut comes a decade after most of its major peers went public. The firm spent years recovering from a string of poor investments in the 2000s and diversifying its private-equity platform into growth and social impact investing.
The company holds nearly $109 billion in assets under management, with investments across a range of industries including in companies such as Airbnb Inc, Spotify Technology SA, Burger King, and McAfee Corp.
Founded in 1992 by David Bonderman and Jim Coulter, TPG was launched as Texas Pacific Group in Mill valley, California. Its first major investment was in the then bankrupt Continental Airlines in 1993.
J.P. Morgan, Goldman Sachs, Morgan Stanley, TPG Capital BD LLC and BofA Securities are the lead underwriters for the offering.
(Reporting by Manya Saini and Sohini Podder in Bengaluru; Editing by Shailesh Kuber)
