By Paul Gough
Rice Energy Inc. hopes to bring in about $600 million with the initial public offering of its midstream company on the New York Stock Exchange beginning Monday.
Rice (NYSE: RICE) said it planned to sell 25 million units at $19 to $21 per unit, which would total between $475 million and $525 million. It also expects to sell another 3.75 million units — worth another $71.2 million to $78.7 million, depending on price — in a 30-day option.
The shares in the IPO of the new company, Rice Midstream Partners (NYSE: RMP), would represent 43.5 percent of its limited partner interest, reaching to 50 percent if the 3.75 million option of shares are also sold. Rice, which is based in Canonsburg, owns the general partner.Read more