Fender Musical Instruments Corp. file for $200 million IPO
Fender Musical Instruments Corp., one of the most iconic brands in the music industry, filed the paperwork today to create a $200 million initial public offering.
Since Leo Fender released the Fender Telecaster and Stratocaster guitars in the 1950s, Fender Guitars have become known to as the iconic sound of the birth of rock and roll. Legendary guitarists Buddy Holly, Jimmi Hendrix, Steve Ray Vaughn, Buddy Guy, Eric Clapton and even The Beatles all used Fender Guitars to shape the sound of rock and roll.
The company stated in its filing with the Security and Exchanges Commission that they are the country’s biggest seller of electric, acoustic and bass guitars. Brand names Squier, Jackson, Guild, Ovation and Latin Percussion all fall under Fender’s corporate umbrella.
Fender plans on using the money raised from the IPO to pay down $246.2 million in debt and to expand their brand name into the emerging markets of China, India and Indonesia. The company announced a 2011 profit of $3.2 million on $700.6 million in revenue versus the $17.3 million deficit on $617.8 million the year before.
Fender Musical Instruments Corp plans to trade on the Nadaq with ‘FNDR” as its symbol.
