(Reuters) - Taylor & Martin Group Inc, which helps companies cash their excess inventory and assets, said it expects to sell 15 million common shares for $10 to $12 each in an initial public offering, raising up to $180 million.
The IPO proceeds will be used to pay down debt and to purchase partner companies, Taylor & Martin said in the filing.
After the IPO, the stake of majority shareholder SABA Group LLC, which is controlled by Taylor & Martin's CEO Rod Cutsinger, will get diluted to 27 percent from about 97 percent, the company said in a filing with the U.S. Securities and Exchange Commission.
Taylor & Martin, which provides marketplaces and auction solutions for liquidating capital assets, reported a pro forma net profit of $4.7 million for 2011 on revenue of $130.8 million, the filing said.
The company, which had filed for the IPO last month, said it expects to list its common stock on the New York Stock Exchange under the symbol "TMG".
Canaccord Genuity and Oppenheimer & Co are the lead underwriters to the offering, the Houston-based company said.
(Reporting by Avik Das in Bangalore; Editing by Sreejiraj Eluvangal)