Friday, August 08, 2008

FTI Plans IPO of Tech Division

FTI Consulting Inc. plans IPO of its fast-growing technology division, potentially bringing the Baltimore company hundreds of millions of dollars to position itself for another round of acquisitions.

FTI Consulting, Inc. (NYSE: FCN) announced today its intention to sell a minority interest in its Technology business in an initial public offering (IPO). The Company expects to receive between $600 million and $700 million from such sale. The proceeds from the offering will be used primarily to retire existing indebtedness of FTI. A portion of the proceeds may also be retained by the Technology business to be used for general corporate purposes.

If the IPO is consummated, the Company’s present intention is to distribute its remaining interest in the Technology business to FTI’s stockholders through a spinoff, splitoff or a combination of these transactions within twelve months after the completion of the IPO. The Company’s present intention is to file a registration statement for the IPO by the end of the year.

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