HMH Holding IPO: oil and gas drilling equipment supplier goes public

Preliminary trading in shares of HMH Holding, an oil and gas equipment supplier, has begun on the Freedom client trading system. The company is entering the market at a time when high oil prices are driving investor sentiment, Reuters notes. Later on April 1, HMH Holding securities will appear on the Nasdaq under the ticker HMH. Click on the HMH ticker to participate.

HMH Holding successfully raised $210.4 million in its IPO. It placed 10.5 million shares at $20 per paper, which is within the previously announced price range ($19-22). Based on the results of the IPO, the value of the entire company can be estimated at about $862 million, writes Reuters.

The listing was organized by JPMorgan, Piper Sandler, Evercore ISI, Citigroup, DNB Carnegie, Nordea, Stifel and Pickering Energy Partners. They have a 30-day option to purchase an additional 1.58 million shares of HMH stock at the IPO price, less discounts and commissions. If the option is fully exercised, the amount raised could total about $242 million, notes Investing.com.

HMH's co-owners, Baker Hughes and Akastor (who owned HMH securities equally (50% each) prior to listing), will retain their stakes in the company; together they will own 75.6% of HMH shares.

HMH originally applied for an IPO back in August 2024, but decided to list only now, Reuters points out: despite increased market volatility amid the ongoing war in the Middle East, bankers and analysts say capital markets remain open - especially for issuers in the oil and gas sector, the agency notes.

Houston, Texas-based HMH was created in 2021 by merging the offshore drilling equipment divisions of Baker Hughes and Akastor with a view to going public, Reuters reported. "We have been manufacturing industry-leading drilling equipment for more than 125 years," the company said on its website. HMH now operates globally, with offices in 15 countries and sales in more than 80 countries, according to a prospectus the company filed with the U.S. Securities and Exchange Commission (SEC) in March.

HMH supplies drilling equipment and services for offshore and onshore drilling, subsea and surface mining, and construction. Its brand portfolio includes Hydril, VetcoGray and Wirth. Although the HMH brand is relatively young, some of its product lines have more than 125 years of history (for example, the history of the Wirth brand dates back to 1895), Reuters adds, noting that HMH's core revenue is generated primarily from service and spare parts sales.

In 2025, HMH had net income of $46.1 million on revenue of $821.8 million (a year earlier, $52 million and $843.4 million, respectively), the company said in a prospectus filed with the SEC.

Shares of oilfield services and energy companies are booming this year thanks to oil prices, which have surged due to the war in the Middle East and concerns about energy supply constraints, Barron's notes. Shares of Baker Hughes and Akastor, for example, are up more than 30% in 2026. Now their joint venture HMH intends to capitalize on this oil boom by going public, Barron's adds.

Since the start of the military conflict in the Middle East, several energy companies have already turned to equity and debt capital markets in a bid to capitalize on the spike in oil prices, Reuters writes. "The market is extremely price sensitive. With the exception of companies in the defense and energy sectors, the IPO market is now owned by buyers and companies face tight controls when setting the initial price," IPOX CEO Joseph Schuster said in a conversation with Reuters.

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Freedom clients will be able to get access to HMN shares before the opening of the main exchange session. Trading will begin in the early pre-market format 2-3 hours before the opening of the US exchanges (from 15:30-16:30 Astana time). To participate, click on the ticker HMH.

This article was AI-translated and verified by a human editor