Summary
Intercontinental Exchange, Inc. (ICE) filed an 8-K on November 9, 2020, to report on a significant secondary offering. The filing details an agreement where Cyprus Parent, LP, an entity associated with Thoma Bravo and formerly known as Ellie Mae Parent, LP, agreed to sell 9,180,569 shares of ICE common stock to Morgan Stanley & Co. LLC as the underwriter. This transaction, priced at $97.4256 per share, represents a substantial disposition of shares held by a major stockholder. For investors, this event signals a change in the shareholder base, with a significant block of shares being transferred from a private equity-controlled entity to the public market via the underwriter. While ICE itself is not selling these shares, the offering's size and the involvement of a major PE firm are key considerations. Investors should monitor the impact of this share sale on trading liquidity and potentially on the stock's price, especially in the short term, as the market absorbs the newly available shares.
Key Highlights
- 1Cyprus Parent, LP, an entity controlled by Thoma Bravo, is selling 9,180,569 shares of ICE common stock.
- 2The shares are being sold to Morgan Stanley & Co. LLC as the underwriter.
- 3The sale price per share is set at $97.4256.
- 4This is a secondary offering, meaning ICE itself is not issuing new shares.
- 5The filing is made under Item 8.01 (Other Events) of Form 8-K.
- 6The Underwriting Agreement is attached as an exhibit (Exhibit 1.1).