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NEW YORK — Shares of Tumi Holdings Inc. fell 3.3 percent after investors began digesting information from a regulatory filing that some shareholders plan to hold a secondary offering.
This story first appeared in the October 17, 2012 issue of WWD. Subscribe Today.
According to a registration statement, or Form S-1, filed with the Securities and Exchange Commission Tuesday, slightly more than 11.6 million shares are being sold at a proposed offering price of $22.87, with a maximum aggregate price range of $265.6 million. The 11.6 million shares include 10.1 million shares of common stock from the selling stockholders plus an option for the underwriters to purchase an additional 1.5 million shares.
The selling stockholders will receive the proceeds from the stock sale, not the company. Among the selling shareholders are chief executive officer Jerome Griffith, chief financial officer Michael Mardy and Doughty Hanson, a fund that owned the company before its April initial public offering and which still owns a majority stake in Tumi.
When the upscale luggage and accessories firm went public, shares climbed 61.7 percent to $29.10 in intraday trading before closing at $26.50, still a 47.2 percent jump from the opening price of $18 a share. The public offering raised $338 million.
Shares of Tumi fell to as low as $21.65 in Tuesday’s trading session before climbing back to close at $22.43.
It’s not unusual for stockholders to sell additional shares once the lock-up period expires following a successful IPO.
Michael Kors Holdings Ltd. went public in December and already has had two secondary offerings as original stockholders have elected to sell more shares. The first secondary offering was in March, and the second one was last month.