Medline Inc. has raised around $6.26 billion through a larger-than-planned initial public offering, with its share price set close to the high end of the expected range, reported Bloomberg citing a source familiar with the deal.
The company sold 216 million shares on Tuesday at $29 per share, the source said, speaking anonymously because the details have not yet been officially announced. Medline, which is backed by investors including Blackstone, Carlyle Group, and Hellman & Friedman, had earlier planned to offer 179 million shares priced between $26 and $30, based on documents filed with the US Securities and Exchange Commission.
Medline’s deal to rank as one of the biggest private equity-backed IPOs of all time
The listing will overshadow the $5.3 billion raised in May by Chinese battery company Contemporary Amperex Technology Co, known as CATL, the Financial Times reported. Medline’s IPO is set to become one of the biggest stock market debuts ever backed by private equity firms. The company’s shares are scheduled to start trading on the Nasdaq on Wednesday under the symbol MDLN.
Investors on Wall Street have been watching the offering closely to judge how strong the $4 trillion private equity sector is and to see whether companies impacted by US President Donald Trump’s tariffs can still draw interest from investors.
Medline major supplier of medical products
Even though many of Medline’s products are made in regions affected by US tariffs, including parts of Asia, investors remain confident in the company. Medline is a major supplier of well-known medical products such as surgical gloves and wheelchairs, and its strong market position and growth potential have made it attractive. Many investors also believe the business is less affected by wider economic ups and downs.
According to Financial Times, Blackstone, Carlyle, and Hellman & Friedman bought a controlling stake in Medline in 2021 in a $34 billion deal. At the time, it was the largest leveraged buyout since the global financial crisis.
Medline IPO puts private equity’s biggest bet to test
In recent years, private equity firms have found it difficult to sell companies and return money to their investors. Because of this, Medline’s long-awaited stock market listing is being closely watched as a test of whether the industry can finally make strong returns from its biggest investments.
Medline supplies hundreds of thousands of medical products to large hospitals. The company had originally planned to list its shares in early 2025 but delayed the move after tariffs introduced by Donald Trump caused major swings in global markets. Many of Medline’s products are made or sourced in countries hit by these tariffs, including China, Vietnam, Japan, and Mexico.
The recent recovery in the IPO market, after several slow years, has given the three private equity firms a chance to start making gains from their investment.
If Medline’s shares are priced around the middle of the expected range, their combined $17 billion investment could roughly double in value, according to a person familiar with the deal. However, the firms are not selling any of their shares in the IPO, as the offering is meant to raise billions for Medline to reduce its nearly $17 billion debt.