Boise Cascade LLC has received approval from the New York Stock Exchange to go forward with an initial public offering. The Boise-based company distributes building materials, and makes and sells wood products.
In the company’s announcement Jan. 23, the company will offer 11,764,706 shares of common stock. The bank underwriters of the IPO have a 30-day option to purchase up to an additional 1,764,706 shares. According to the news release, the estimated price range for the IPO is $16 to $18 a share.
The company has always filed financial and company information with the Securities and Exchange Commission in preparation for an IPO, according to John Sahlberg, a company spokesman. He expects the NYSE to list the company’s shares in mid-February.
In a filing with the SEC Jan. 14, Boise Cascade had estimated total sales of more than $2.7 billion in 2012. Demand for the company’s products closely correlates with the level of residential construction in the U.S., according to a 10-Q report filed at the end of September.
As part of the IPO, Boise Cascade will formally become a corporation known as Boise Cascade Company. The company had about 4,470 employees as of the end of September.
In 2004, Boise Cascade Corporation sold its forest products assets and the name to Madison Dearborn Partners, a private equity group in Chicago, and a group of managers in Boise. This group became Boise Cascade LLC. The rest of Boise Cascade became Office Max.
In February 2008, the paper and container assets were spun off into an independent public company called Boise Inc.