CBS Outdoor Americas Inc. (“CBSO”), the outdoor advertising subsidiary of CBS Corporation, announced that today it launched a road show for its initial public offering (“IPO”).
CBSO is offering 20 million shares of its common stock, and underwriters will have a 30-day option to buy an additional three million shares. The IPO price is currently expected to be between $26 and $28 per share, and the shares are expected to trade on the New York Stock Exchange under the symbol, “CBSO.”
After the IPO, CBS Corporation will own approximately 83% of CBSO (or approximately 81% of the outstanding stock of CBSO if underwriters exercise their option to purchase additional shares in full). CBSO plans to convert into a real estate investment trust (“REIT”) later this year, following CBS’s divestiture of its shares through a tax-free split-off.
CBSO expects to use the net proceeds from the IPO as partial consideration to CBS for the contribution of the outdoor business entities as well as the cash portion of the distribution to shareholders required in connection with the conversion to a REIT.
Goldman, Sachs & Co., BofA Merrill Lynch, J.P. Morgan, and Morgan Stanley are acting as joint book-running managers, and Citigroup, Deutsche Bank Securities, and Wells Fargo Securities are acting as book runners.
The offering is being made by means of a prospectus. The preliminary prospectus can be obtained from:
|Goldman, Sachs & Co.||BofA Merrill Lynch|
|Attention: Prospectus Department||Attention: Prospectus Department|
|200 West Street||222 Broadway|
|New York, NY 10282||New York, NY 10038|
|J.P. Morgan||Morgan Stanley|
|Attn: Broadridge Financial Solutions||180 Varick Street, 2nd Floor|
|1155 Long Island Avenue||New York, NY 10014|
|Englewood, NY 11717||Attention: Prospectus Department|
A Form S-11 registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold, nor may offers to buy be accepted, prior to the time that the registration statement becomes effective. This press release shall not constitute an offer to sell or the solicitation of any offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
Certain statements in this release, including those relating to completion of the IPO and the proposed use of proceeds, are forward-looking statements. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those indicated in the forward-looking statements. Important factors that could cause actual results to differ materially from our expectations include, without limitation: the satisfaction of customary closing conditions relating to the IPO; capital market risks; and the impact of general economic or industry conditions. There can be no assurance that the IPO will be completed on the anticipated terms, or at all. You should not place undue reliance on these forward-looking statements, which apply only as of the date of this news release. We intend these forward-looking statements to speak only as of the time of this release and do not undertake any obligation to update any forward-looking statements contained in this release as a result of new information or future events or developments.
About CBS Outdoor
CBS Outdoor is one of the largest out-of-home media companies in the Americas and has a major presence throughout the United States, Canada, Mexico and South America. With both traditional outdoor (billboard and transit) advertising properties and a network of digital displays and mobile offerings, CBS Outdoor gives advertisers both breadth and depth of coverage across vast geographies, as well as immersive ways to connect with advertisers.
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