Atmus Filtration Technologies Inc , the filtration unit of US diesel engine maker Cummins Inc, was valued at $1.8 billion in a powerful IPO on Friday.
The company’s shares opened at $21.67, an 11% increase from the initial offering price of $19.5 per share.
Atmus raised about $275 million from the sale of 14.1 million shares. The company previously indicated that the IPO could be between $18 and $21 per share.
Financial markets are on edge as the deadline to raise the US government’s borrowing limit approaches. Some progress has been made in negotiations between the White House and Republicans as the June 1 deadline for the US Treasury Department approaches.
Atmus joins a growing list of new entrants to the US market, seen as a sign of a melting IPO market.
Earlier this month, Kenvue Inc, Johnson & Johnson Inc’s consumer health business, went public, becoming the largest IPO since Rivian Automotive Inc’s IPO in 2021.
Columbus, Indiana-based Cummins will now control about 83% of the company’s stock. (Reporting by Jaiveer Singh Shekhawat in Bengaluru; Editing by Maju Samuel)