A group of shareholders at INC Research – led by the pharmaceutical services company’s two largest shareholders – have sold 8 million shares of stock for more than $350 million, according to documents filed with the Securities and Exchange Commission.
The Raleigh-based contract research organization itself didn’t receive any proceeds from the secondary stock offering, which was previously announced and was completed this week.
The shares fetched $44.75 each, exceeding the target price of $41.75.
INC shares closed Friday at $44.47, up 22 cents. The stock has risen 73 percent this year.
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Nearly 99 percent of the shares were sold by Avista Capital Partners, a private equity firm, and a Canadian public pension fund, the Ontario Teachers Pension Plan. After the sale, Avista owns 28.9 percent of INC’s Class A common shares, and the pension plan owns 21.7 percent.
It’s routine for major shareholders to reduce their ownership stake in a company after it goes public and the restrictions on selling shares expires.
Collectively, the selling shareholders fetched $358 million. They reaped $352 million minus the $6 million that went to underwriters Credit Suisse and J.P. Morgan.
A few company executives and directors also sold shares, including CEO Jamie Macdonald, who sold 57,021 shares.