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WHITE PLAINS, NY - Loar Holdings Inc. (NYSE:LOAR), a manufacturer and supplier of aerospace and defense components with a market capitalization of $9.3 billion and impressive year-to-date returns of 35%, revealed plans for a secondary underwritten public offering of 9 million shares of its common stock. The offering is being made by certain stockholders of the company, who will also offer the underwriters an option to purchase up to an additional 1.35 million shares.
The company, which maintains strong financials with a healthy current ratio of 5.3 and robust revenue growth of 27% in the last twelve months, clarified that it will not be selling any shares nor will it receive proceeds from the sale, which is intended solely for the benefit of the selling stockholders. Investment banks Jefferies and Morgan Stanley are serving as the lead book runners, with Blackstone as co-manager for the offering.
The shares are being offered pursuant to an automatic shelf registration statement filed with the Securities and Exchange Commission (SEC) on May 1, 2025, which became effective immediately. According to InvestingPro analysis, LOAR is currently trading near its 52-week high of $99.67, with multiple indicators suggesting the stock may be overvalued at current levels. For deeper insights, investors can access comprehensive valuation metrics and 16 additional ProTips through InvestingPro’s detailed research reports. Details regarding the offering will be available through a prospectus supplement and the accompanying base prospectus filed with the SEC.
The completion of the offering is subject to market conditions, and there is no guarantee of the offering’s completion or the final terms and size. The offering’s proposed terms and timing are forward-looking statements and are subject to risks and uncertainties that could cause actual outcomes to differ materially.
Loar Holdings has a history of providing essential components for current aircraft and aerospace and defense systems, maintaining relationships with leading manufacturers and Tier One companies in the industry. The company boasts impressive gross profit margins of 50% and is one of 1,400+ US companies covered by InvestingPro’s comprehensive research reports, which provide detailed analysis and actionable insights for investors.
This press release, based on a press release statement, does not constitute an offer to sell or a solicitation of an offer to buy the securities, and there will be no sale of these securities in any state or jurisdiction where such an offer, solicitation, or sale would be unlawful before registration or qualification under the securities laws of any such state or jurisdiction.
In other recent news, Loar Holdings LLC reported record sales for the first quarter of 2025, with revenue reaching $150 million, marking a 12% increase compared to the same period last year. The company also raised its net sales guidance for 2025 to a range of $482-$490 million. Adjusted EBITDA margins improved significantly to 37.6%, and the company noted a substantial increase in defense sales, which surged by 30%. Despite these strong financial results, the company’s stock experienced a decline in pre-market trading. Analysts have noted the company’s strategic focus on product innovation and manufacturing optimization as key factors in its robust performance. Additionally, Loar Holdings is actively pursuing mergers and acquisitions, with plans to close the acquisition of L and B Fans and Motors in the third quarter of 2025. The company has also emphasized its commitment to talent acquisition and development as part of its strategic growth plan.
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