ZURICH, June 28 (Reuters) - Swiss industrial group OC Oerlikon on Wednesday set a price range of 48 to 62 Swiss francs per share for its gearbox unit in a public offering (IPO) that would create a company worth up to 620 million francs ($621.7 million).
The listing on the SIX Swiss Exchange for the new concern, to be called GrazianoFairfield, is slated for July 11, Oerlikon said in a statement, with a free float of up to 100 percent of shares if a greenshoe overallotment option is exercised.
Oerlikon is unloading its long-underperforming Graziano and Fairfield divisions to raise cash to expand in its remaining surfacing technology and textile machinery businesses.
Graziano, with Italian roots, makes transmissions including for high-end sports cars, while U.S.-based Fairfield produces gears and custom drives for construction, mining equipment and oil and gas at manufacturing sites in Asia.
Oerlikon Chief Executive Roland Fischer has said IPO proceeds would be invested into the development of remaining businesses, while analysts have said the company has the flexibility to also return some cash to shareholders.
UBS is acting as the sole global coordinator and bookrunner. Berenberg, Jefferies, Vontobel and Zuercher Kantonalbank are co-bookrunners. The syndicate also includes Kepler Cheuvreux and Mainfirst as co-managers, and Octavian as selling agent.
Operating margins from GrazianoFairfield have been slimmer than those of Oerlikon's surface solutions business, prompting speculation for years that the unit was a disposal candidate.
$1 = 0.9972 Swiss francs Reporting by John Miller; Editing by Michael Shields