Reuters: MasterCard Inc., the world's No. 2 credit card association, expects to raise up to $2.61 billion in its upcoming initial public offering. MasterCard may offer up to 61.5 million shares priced at $40 to $43 a share in what will be the largest U.S. stock flotation in two years. The proceeds of the offering are expected to total $2.43 billion. But that could increase to $2.61 billion if the offering's underwriters exercise an option to buy additional shares. Once known as "Master Charge," the company is going public after 40 years of being a bank-owned association.
MasterCard reported net income of $126.7 million, $1.27 per share, and revenue of $738.5 million for the first quarter of 2006. Net income improved 37 percent, from $93.3 million in the first quarter of 2005, and revenue was up 12 percent, from $658 million.
