UPDATE 1-CDW cuts IPO size amid market volatility
June 26 (Reuters) - Technology products retailer CDW Corp cut the number and price of shares in its initial public offering, as the U.S. stock markets remain volatile on concerns that the Federal Reserve may roll back its stimulus policies.
The company now expects to raise up to $419.4 million, down from its earlier projection of up to $641.7 million.
It cut the number of shares in the IPO by 16 percent to 23.3 million and lowered the expected price to between $17 and $18 per share, from $20 to $23, according to a regulatory filing on Wednesday. ()
This is because the company's private equity owners, Madison Dearborn LLC and Providence Equity Partners Inc, withdrew plans to sell a total of 4.5 million shares. The two firms took CDW private in 2007 for $7.3 billion.
CDW sells products from Apple Inc, Hewlett-Packard Co, IBM Corp and others through its catalog and its website.
The Dow Jones industrial average has declined more than 4 percent since it hit an all-time high a month ago after the Federal Reserve indicated it will stop the quantitative easing that has kept U.S. economy afloat.
This week's other major IPO, industrial distribution company HD Supply, backed by Carlyle Group LP, Clayton, Dubilier & Rice LLC and Bain Capital LLC, is expected to price late on Wednesday.
JP Morgan, Barclays and Goldman Sachs are leading the offering from Vernon Hills, Illinois-based CDW, which plans to list its shares on the Nasdaq under the symbol "CDW."