20 June 2023

Kodiak Gas Services Inc filed an IPO prospectus and plans to raise about $300 million by selling 16 million shares at an estimated price of $20.50 per share.

Kodiak Gas Services is a leading operator of contract compression infrastructure in the United States (“U.S.”). Its compression operations are critical to its customers’ ability to reliably produce natural gas and oil to support growing global energy demand. Kodiak is a market leader in the Permian Basin, which is the largest producing natural gas and oil basin in the U.S.

The proposed IPO price would value the company at $1.54 bil (without accounting for possible over-allotment of shares).

With an estimated (pro-forma) net debt of $1.78 bil, enterprise value would be $3.32 bil. With Adjusted EBITDA of $399 mil in FY 2022, company would be valued at an EV/EBITDA multiple of x8.3.

After completion of the offering, EQT will indirectly own, through its ownership of Kodiak Holdings, approximately 79% of company’s outstanding common stock.

More, Source: Company’s IPO Filing