In the filing the company says it has served more than 8,000 customers in the U.S. and Canada and co-employed some 218,000 of its clients’ employees. In 2012 TriNet processed more than $10 billion in payroll and insurance premiums for its clients.
About 85% of TriNet’s $1 billion in revenues in 2012 is derived from providing risk-based, third-party insurance plans for customers, primarily health benefits plans and workers compensation insurance. The company posted net earnings of $31.8 million in 2012. For comparison, Automatic Data Processing Inc. (NYSE: ADP) booked revenue of $1.97 billion in the third quarter of this for its employee services segment.
The company said it would use to proceeds from the offering to repay approximately $200 million in debt, to increase equity capitalization and financial flexibility, marketing, and in creating a public market for the stock. TriNet has approximately 26.5 million shares outstanding including preferred stock on an as-converted basis. At the time of the IPO, 9.5 million preferred shares will be exchanged for 19 million shares of common stock.
Ten executives and directors currently own 89.9% of the common stock. The largest shareholder is private equity firm General Atlantic LLC and its affiliates with a 72% stake. Following the offering the company will have a total of 770 million authorized shares of common stock.
The company has not yet determined how many shares will be included in the IPO nor has it named a stock exchange or ticker symbol for the publicly traded shares.
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