SAN FRANCISCO (04/26/2000) - AT&T Corp. plans to issue an initial public offering (IPO) tomorrow for its Wireless Group subsidiary, in what may be one of the largest IPOs yet.
AT&T is issuing 360 million shares of the tracking stock, priced at US$29.50 per share, for a total of $10.62 billion, the company said in a statement today. AT&T may also issue an additional 54 million shares if the underwriters exercise their options, the company said.
The IPO comes amidst a volatile market for IPOs, as the technology-heavy Nasdaq stock exchange has lost much of its value in recent weeks. The Nasdaq composite closed today at 3,630, down 81 points.
The tracking stock will reflect the value of the subsidiary, which includes voice and data mobility, fixed-wireless services, as well as stakes in international and domestic wireless operators.
The lead managers of the IPO are Goldman, Sachs & Co.; Merrill Lynch & Co. and Salomon Smith Barney, Inc., AT&T said.
AT&T Corp., based in Basking Ridge, New Jersey, is at http://www.att.com/.