The guitar-maker Fender, whose instruments were used by music legends including Jimi Hendrix, is launching its initial public offering in New York to raise as much as $160.5m.
The company, formed in the 1940s by Leo Fender, was the first to mass produce solid-body Spanish-style electric guitars, including the iconic Stratocaster. It expects to sell 10.7 million shares at $13 to $15 each, valuing the business at about $395m.
After the fundraising, San Francisco-based buyout firm Weston Presidio, Fender's biggest shareholder with a 43 per cent stake, is set to own about 17.7 per cent. Fender has said it does not expect to pay cash dividends in the short term.
Subscribe to Independent Premium to bookmark this article
Want to bookmark your favourite articles and stories to read or reference later? Start your Independent Premium subscription today.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies