Newport Beach-based William Lyon Homes is expected to announce the price per share of its new stock offering on Wednesday and begin selling shares on the New York Stock Exchange on Thursday under the WLH ticker symbol, the Wall Street Journal reported.
The company — which will become the fourth homebuilder to go public this year — had stated in an earlier filing with the U.S. Securities and Exchange Commission that it expects its stock to sell in the $22- to $24-per-share range, raising $191.4 million to $208.8 million.
The company said it plans to sell 8.7 million shares, a fourth of which is being sold by New York Hedge fund Luxor Capital Group LP, Lyon Homes’ largest shareholder.
Lyon Homes is one of five builders capitalizing on a rally in U.S. homebuilding stocks. The Bloomberg American Home Builders Index was up by 55 percent in the past year.
TRI Pointe Homes of Irvine became the first homebuilder in eight years to go public on Jan. 31, raising $156 million in net proceeds. Taylor Morrison Home Corp.’s stock offering on April 10 generated $628.5 million.
Arizona developer American Residential Properties Inc. announced that an initial public offering last week generated about $264.6 million in net proceeds. Union Community Partners – a California and Washington state developer – has announced plans to go public as well.
TRI Pointe’s and Taylor Morrison’s investors have been rewarded so far. Stocks for the two firms were up 13 percent and 14 percent, respectively, as of Tuesday’s close. American Residential’s stock price was down 1 percent.