Forgent Power Solutions $1.5B IPO roared onto Wall Street on Thursday, raising $1.5 billion as the Minnesota-based manufacturer of data center and industrial electrical equipment began trading on the New York Stock Exchange.
By the closing bell of its debut session, the company had surged to a market capitalization of roughly $8.2 billion — a jolt of market energy fueled by investor appetite for infrastructure tied to artificial intelligence and grid expansion.
Shares Price at Midpoint, Private Equity Cashes In
Forgent priced 56 million shares at $27 apiece, landing squarely in the midpoint of its previously announced $25 to $29 range. The offering delivered a sizable exit opportunity for private equity firm Neos Partners, which sold 70% of the shares in the IPO.
The company now trades under the ticker symbol “FPS,” staking its claim among industrial and energy infrastructure players at a time when electricity demand is accelerating like a turbine at full spin.
Riding the AI and Grid Expansion Wave
Headquartered in Dayton, Minnesota, Forgent designs and manufactures electrical equipment built for energy-hungry applications — from sprawling data centers to the arteries of the power grid itself.
The company pointed to surging demand driven by artificial intelligence, independent power generation, utility buildouts and the reshoring of U.S. manufacturing as powerful tailwinds supporting its growth outlook.
As of Sept. 30, Forgent reported a backlog of approximately $1 billion — a figure that stands 44% higher than the same point a year earlier, underscoring a swelling pipeline of orders.
To meet that demand, the company operates 10 manufacturing facilities across Minnesota, Texas, Maryland, California and Mexico. It has also launched an ambitious 1.8 million-square-foot expansion project aimed at boosting production capacity by the end of the year.
