{"id":3691,"date":"2018-01-19T09:15:00","date_gmt":"2018-01-19T14:15:00","guid":{"rendered":"http:\/\/www.ipoboutique.com\/blog\/?p=3691"},"modified":"2018-01-19T21:10:00","modified_gmt":"2018-01-20T02:10:00","slug":"gates-industrial-corporation-ipo-preview-gtes","status":"publish","type":"post","link":"https:\/\/www.ipoboutique.com\/blog\/gates-industrial-corporation-ipo-preview-gtes\/","title":{"rendered":"Gates Industrial Corporation #IPO Preview $GTES"},"content":{"rendered":"

\"GatesIndustrialCorp\"<\/a><\/p>\n

Company: Gates Industrial Corporation plc
\nSymbol: GTES
\nDescription: They are a global manufacturer of innovative, highly engineered power transmission and fluid power solutions.
\nShares: 38.5 million
\nPrice Range: $18.00-$21.00
\nTrade Date: 1\/25
\nUnderwriter(s): Citigroup, Morgan Stanley, UBS Investment Bank, Barclays, Credit Suisse, Goldman Sachs & Co., RBC Capital Markets
\nCo-Manager(s): Blackstone Capital Markets, Deutsche Bank Securities, Wells Fargo Securities, Current Capital Securities, KeyBanc Capital Markets, Siebert Cisneros Shank & Co., SunTrust Robinson Humphrey, Academy Securities, BTIG, Guggenheim Securities
\nTerms Added: 1-12-18<\/p>\n

 <\/p>\n

Link to S-1\/A Prospectus<\/a><\/strong><\/p>\n

Link to Retail Roadshow<\/a><\/strong><\/p>\n

Business<\/strong>: They\u00a0offer a broad portfolio of products to diverse replacement channel customers, and to original equipment (\u201cfirst-fit\u201d) manufacturers as specified components, with the majority of their revenue coming from replacement channels. Their\u00a0products are used in applications across numerous end markets, which include construction, agriculture, energy, automotive, transportation, general industrial, consumer products and many others.\u00a0They sell\u00a0their\u00a0products globally under the Gates brand, which is recognized by distributors, equipment manufacturers, installers and end users as a premium brand for quality and technological innovation; this reputation has been built for over a century since Gates\u2019 founding in 1911.<\/p>\n

Sponsor Backed:<\/strong> \u00a0Blackstone (NYSE: BX) is one of the world\u2019s leading investment firms. Blackstone\u2019s alternative asset management businesses include the management of corporate private equity funds, real estate funds, hedge fund solutions, credit-oriented funds and closed-end mutual funds. Through its different businesses, Blackstone had total assets under management of approximately $387.4 billion as of September 30, 2017.\u00a0After the completion of this offering, their\u00a0Sponsor will beneficially own approximately 85.9% of our ordinary shares (or 84.2% if the underwriters exercise their over-allotment option in full).<\/p>\n

Financials: \u00a0<\/strong>Their revenue has historically been highly correlated with industrial activity and utilization, and not with any single end market given the diversification of their\u00a0business and high exposure to replacement markets. Key indicators of our performance include industrial production, industrial sales and manufacturer shipments.<\/p>\n

During Fiscal 2016, they generated $2,747.0 million in net sales to over 8,000 customers in 128\u00a0countries, their net income was $84.3 million and their Adjusted EBITDA was $594.9 million, representing an Adjusted EBITDA margin of 21.7%, an increase of 180 basis points from Fiscal 2015. During Fiscal 2015, they generated $2,745.1 million in net sales, their net income was $50.9 million and their Adjusted EBITDA was $547.2 million, representing an Adjusted EBITDA margin of 19.9%. During the nine months ended September\u00a030, 2017, their net sales increased 8.7% to $2,259.9 million compared to $2,079.3 million for the nine\u00a0months ended October 1, 2016, their net income was $52.5\u00a0million for the nine months ended September 30, 2017, compared to $69.0\u00a0million in the prior year period, and their Adjusted EBITDA increased 11.0% to $496.1\u00a0million, compared to $447.0 million in the prior year period, resulting in an Adjusted EBITDA margin of 22.0%, a 50 basis point increase compared to the prior year period. As of September 30, 2017, their total indebtedness was approximately $3,916.1 million, or $3,236.3 million on a pro forma basis after giving effect to this offering and the use of proceeds therefrom.<\/p>\n

\"Gates.Financials\"<\/a><\/p>\n

Book-Building Status<\/strong>: The way the book comes together during the week of the roadshow is the most critical indicator to first-day and first-week performance. IPO Boutique uses its 45 years of experience and sources all over the street to gather daily subscription levels, specific price guidance and what type of investors are currently in the book or are anchoring orders in the book. In addition, recent underwriter performance on sector specific deals is a strong factor that IPO Boutique takes into account when determining if our clients should indicate for any offering.<\/p>\n

IPO Boutique subscription clients receive daily updates on this critical information.<\/span><\/a><\/p>\n

Conclusion<\/strong>: IPO Boutique provides ratings, daily commentary and a forecast for how this IPO will open vs. its offering price. We have kept a\u00a0track record<\/span><\/a>\u00a0with our performance for last 12 years at our website. Additionally, here’s a 2017 recap of our performance<\/a>\u00a0to showcase the value of IPO Boutique’s service.<\/p>\n

Indicate with confidence,\u00a0<\/b>SUBSCRIBE<\/b><\/a>\u00a0today.<\/b><\/p>\n","protected":false},"excerpt":{"rendered":"

Company: Gates Industrial Corporation plc Symbol: GTES Description: They are a global manufacturer of innovative, highly engineered power transmission and fluid power solutions. Shares: 38.5 million Price Range: $18.00-$21.00 Trade Date: 1\/25 Underwriter(s): Citigroup, Morgan Stanley, UBS Investment Bank, Barclays, Credit Suisse, Goldman Sachs & Co., RBC Capital Markets Co-Manager(s): Blackstone Capital Markets, Deutsche Bank[…]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"zakra_general_container_width":0,"zakra_general_content_width":0,"zakra_general_sidebar_width":0,"zakra_sticky_header":"customizer","zakra_header_main_area":true,"zakra_site_logo_width":0,"zakra_header_top_enabled":"customizer","zakra_header_top_style":"customizer","zakra_primary_menu_item_style":"customizer","zakra_page_header_text_color":"","zakra_page_header_layout":"customizer","zakra_page_title_bg":"","zakra_footer_widgets_bg_image":0,"zakra_page_title_bg_repeat":"customizer","zakra_page_title_bg_position":"customizer","zakra_page_title_bg_size":"customizer","zakra_page_title_bg_attachment":"customizer","zakra_breadcrumbs_enabled":"customizer","zakra_breadcrumbs_text_color":"","zakra_breadcrumbs_separator_color":"","zakra_breadcrumbs_link_color":"","zakra_breadcrumbs_link_hover_color":"","zakra_page_title_bg_image":0,"zakra_footer_widgets_enabled":"customizer","zakra_footer_column_layout_1_style":"customizer","zakra_footer_widgets_bg":"","zakra_footer_widgets_bg_repeat":"customizer","zakra_footer_widgets_bg_position":"customizer","zakra_footer_widgets_bg_size":"customizer","zakra_footer_widgets_bg_attachment":"customizer","zakra_footer_bar_enabled":"customizer","zakra_footer_bar_style":"customizer","footnotes":""},"categories":[24],"tags":[1452],"class_list":["post-3691","post","type-post","status-publish","format-standard","hentry","category-ipo","tag-gtes"],"_links":{"self":[{"href":"https:\/\/www.ipoboutique.com\/blog\/wp-json\/wp\/v2\/posts\/3691","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.ipoboutique.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.ipoboutique.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.ipoboutique.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.ipoboutique.com\/blog\/wp-json\/wp\/v2\/comments?post=3691"}],"version-history":[{"count":3,"href":"https:\/\/www.ipoboutique.com\/blog\/wp-json\/wp\/v2\/posts\/3691\/revisions"}],"predecessor-version":[{"id":3736,"href":"https:\/\/www.ipoboutique.com\/blog\/wp-json\/wp\/v2\/posts\/3691\/revisions\/3736"}],"wp:attachment":[{"href":"https:\/\/www.ipoboutique.com\/blog\/wp-json\/wp\/v2\/media?parent=3691"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.ipoboutique.com\/blog\/wp-json\/wp\/v2\/categories?post=3691"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.ipoboutique.com\/blog\/wp-json\/wp\/v2\/tags?post=3691"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}