McAfee Prices IPO At $20.00/shr, Within Estimated $19.00 - $22.00/shr Range

(RTTNews) - Cyber security firm McAfee Corp. said Wednesday that it has priced its initial public offering of 37 million shares of its Class A common stock at $20.00 per share, within its previously expected range of $19.00 - $22.00 per share.

Of the offered shares, about 30.98 million shares are being offered by McAfee and about 6.02 million shares are being offered by certain of McAfee's existing stockholders.

McAfee said it will not receive any proceeds from any sale of shares by the selling stockholders.

The underwriters have a 30-day option to purchase up to an additional 5.55 million shares of Class A common stock, consisting of 1.23 million shares from McAfee and 4.32 million shares from certain existing stockholders at the initial public offering price less underwriting discounts and commissions.

McAfee's stock is expected to begin trading on the Nasdaq Global Select Market on October 22, 2020, under the ticker symbol "MCFE." The offering is expected to close on October 26, 2020.

McAfee said it plans to use a portion of the net proceeds from the offering to repay its Second Lien Term Loan, and purchase equity interests from certain existing stockholders.

McAfee was a public company before Intel (INTC) acquired it for about $7.7 billion in 2011. Intel sold a majority stake in McAfee to private equity firm TPG, which now owns about 66% of McAfee.