Viking in Agreement to Retire Series B Preferred Stock in APi

Cleary Gottlieb represented Viking Global Investors (Viking) in a series of transactions in connection with its previous investment in Series B preferred shares of APi Group Corporation (APi).

Viking and Blackstone, the other Series B preferred holder, converted their Series B preferred shares to APi common stock at a conversion price of $24.60 per share, for a total of 32.8 million shares. Concurrently, APi repurchased 16.26 million shares of its common stock from Viking and Blackstone at $36.90 per share for an aggregate purchase price of $600 million to Viking and Blackstone.

A portion of the purchase price was funded by an incremental term loan facility between APi, APi Group DE Inc., Viking, and Blackstone, which was subsequently assigned to Citibank N.A.

The transaction was announced on February 28, 2024.

Cleary also represented Viking in APi’s approximately $415 million secondary public offering of 12.15 million shares of common stock at a $34.75 per share public offering price. The offering priced on February 29, 2024, and closed on March 5, 2024. UBS Securities LLC and Citigroup Capital Markets Inc. acted as joint lead bookrunning managers and representatives of the underwriters.

APi is a global, market-leading business services provider of safety and specialty services in over 500 locations worldwide. APi provides statutorily mandated and other contracted services to a strong base of long-standing customers across industries. APi has a winning leadership culture driven by entrepreneurial business leaders that deliver innovative solutions to their customers.

Viking is a global investment firm that manages over $38 billion of capital across public equity, private equity, and credit and structured capital strategies. Viking has more than 275 employees, including more than 45 investment professionals, across five offices: Greenwich, New York, Hong Kong, London, and San Francisco.

For more information, please see the press release here.