GNC Holdings Inc. raised $360 million in its initial public offering, at the midpoint of expectations.
The health products retailer and its stockholders sold 22.5 million shares for $16 each. The company, based in Pittsburgh, planned to sell the stock for $15 to $17 each to raise up to $382.5 million.
Of the shares offered, 16 million are being issued and sold by the company and 6.5 million are being sold by stockholders. Selling stockholders have granted the underwriters a 30-day option to purchase up to an about 3.4 million additional shares.
GNC sells vitamin, mineral, herbal and other specialty supplements and health products at more than 7,000 locations. It is owned by Ares Management LLC and the private equity arm of the Ontario Teachers' Pension Plan, a large Canadian institutional investor that administers retirement funds for Ontario's teachers and former teachers.
It's one of several companies that are going public as the economy recovers. Analysts say several blockbuster IPOs this year _ HCA, Kinder Morgan and Nielsen _ have improved the prospects for other private-equity backed deals.
GNC has grown, earning $1.82 billion last year, up from $1.71 billion in 2009. Net income rose 39 percent to $96.6 million from $69.5 million in the prior year.
It is the largest nutritional supplements chain in the U.S., according to the company and it plans to grow overseas, particularly in China, and increase its online market share.
Goldman Sachs and JPMorgan, along with Deutsche Bank Securities and Morgan Stanley, are acting as joint bookrunners for the offering, and Barclays Capital, Credit Suisse Securities (USA), William Blair & Co. and BMO Capital Markets are acting as co-managers.
GNC plans to list on the NYSE under the symbol "GNC" and is expected to begin trading April 1.