Hamilton Lane IPO
Hamilton Lane Inc. is a company that provides solutions to investing in private markets. It helps customers conceive, supervise, expand and manage investment portfolios as well as private market funds. The company was founded in 1992 and has its headquarters in Pennsylvania. The board of Hamilton’s Directors is chaired by Hartley R. Rodgers. Mr. Rodgers also acts as a managing director within the company and offers his advice in some investment committees within the firm.
The company filed for an Initial Public Offering on February 16th this year seeking to raise $190 million. Hamilton Lane had its offering on the 28th of February. It sold its shares at $16 per share which was the midpoint of its mentioned share price range of $15 – $17. After the sale of 11.9 million shares, the company managed to obtain its intended revenue of $190 million.
Joint book-running managers for this offering were J.P. Morgan and Morgan Stanley while Goldman, Sachs & Co. acted as lead co-manager. Co-managers for Hamilton Lane’s offering included Keefe, Bruyette & Woods, Wells Fargo Securities, and Freeman & Co.
Apart from the 11.9 million shares it sold, the company has an additional 1.8 million shares as an over-allotment option for its underwriters. The underwriters have a 30-day period to purchase these shares.
The company appeared under the ticker HLNE on March 1st to begin trading in the stock market. On its first day on the market, Hamilton Lane opened at $17.85. This was a $1.85 increase from its price during the offering. The increment translated to a 12.6 percent rise in value in the company’s stock.
Over time, the company’s stock has steadily increased in value. As of March 10th, the company’s stock was trading at $18.47, up by $0.03. This translated to an increase of 0.16 percent in the shares’ value. Its highest point so far has been on March 3rd when the stock reached $18.72. However, the stock has also traded at a low of $18.32. Currently, the stock seems to be significantly stable.
Hamilton Lane has been in business for 25 years. The company has 12 offices worldwide and employs over 290 people. Further, the company serves over 350 clients or investors who look to the company’s advice to make the right investment decisions. Additionally, the company has $292 billion of assets under its advice as well as $40 billion of assets under its management. Hamilton Lane has offices in Tel Aviv, London, Rio de Janeiro, Seoul, Hong Kong and Tokyo outside the United States.
The company offers its clients access to investments within privately-held companies through segments such as private equity, infrastructure, real estate, private credit, venture capital, growth equity and natural resources. Hamilton Lane’s main clients are financial institutions and insurance companies. Other customers include family offices or high net worth clients, labor union pension plans, corporate or private pension schemes, endowments or foundations as well as sovereign wealth funds.
This company is expected to steadily grow with the expected growth of the private equity industry to nearly double its size by 2020.