TRW Automotive Holdings Inc.’s largest shareholder and five senior executives are looking to unload 11 million of their shares in the supplier.
Automotive Investors LLC, which is controlled by the Blackstone Group LP, the New York-based investment firm, is selling about 10 million shares in the offering, which is being underwritten by J.P. Morgan Securities Inc.
TRW shares today closed at $26.48, down $1.33 or 4.8 percent from Monday’s close on the New York Stock Exchange.
The sale would shrink the Blackstone Group’s stake in TRW from 39.9 percent to 30.3 percent, according to a prospectus filed Monday with the U.S. Securities and Exchange Commission.
The Blackstone Group paid $4.7 billion for TRW in 2003 before the automotive safety technology and parts supplier went public in 2004.
TRW CEO John Plant is selling 320,000 of his nearly 2.7 million shares, COO Steven Lunn is selling 268,666 shares, CFO Joe Cantie is selling 108,000 shares and Executive Vice Presidents Peter Lake and Neil Marchuk are selling 232,725 shares and 32,254 shares, respectively.
The sale plans come after TRW stock took a wild ride in 2009, as all suppliers were battered during the auto industry’s largest downturn in decades.
TRW shares were as low as $1.38 per share in the first quarter of 2009, but rebounded to a 2009 high of $25.52 per share in the fourth quarter.
TRW, based in suburban Detroit, ranks No. 10 on the Automotive News list of the top 100 global suppliers with worldwide sales to automakers of $15.0 billion in 2008.