Targa Resources has raised $360.25 million in its IPO by selling about 16.4 million shares of common stock for $22 apiece, above its expected price range. Selling stockholders included Warburg Pincus and Merrill Lynch Ventures, which expected to reduce their stakes from 73.6% to 44% and 6.5% to 3.9%, respectively. Targa's stock rose during its first day trading on the NYSE under the symbol TRGP, closing up at $24.70. The company owns general and limited partner interests in Targa Resources Partners (NYSE: NGLS), a provider of midstream natural gas and natural gas liquid services.
Since the beginning of 2009, PE investors have exited 96 companies headquartered in the Gulf Coast states. With 61 exits completed so far this year, the region's 2010 exit activity is close to doubling 2009's 35 exits. Meanwhile, the median deal size has more than doubled from $138.9 million to $355.38 million. Similar to last year, the majority of the exits (54.1%) occurred through sales to corporations this year. However, selling to other PE investors has risen dramatically in popularity, jumping 21.4 percentage points to account for 32.8% of 2010's completed exits, and while several investors have exited companies in the region, many more (194 PE investors in 2010 alone) are making new investments. The most active include H.I.G. Capital, The Blackstone Group and TPG Capital, each with 6 deals.