The Chicago Board Options Exchange (CBOE) will vote May 21 on a plan to restructure the company as a shares-based organization, Reuters reports. The CBOE will issue about 90.7 million shares to its current owners under the pre-IPO restructuring plan, and an additional 10 million afterwards.
The exchange also set a $25-per-share floor for the initial offering price, which would value the CBOE at about $2.5 billion. The amount is less than the $3.3 billion enterprise value implied by the most recent sale of a CBOE seat. Each share issued in the pre-IPO restructuring will deliver a $1.25 pre-IPO dividend, resulting in a total pre-IPO dividend payment of $113.4 million.
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