Kodiak Gas Services said on June 20 it is aiming for a valuation of about $1.65 billion in its U.S. listing, expecting to benefit from returning investor appetite for new offerings.

The company is looking to sell 16 million shares in its IPO priced between $19 and $22 apiece. It is expected to raise approximately $352 million at the top of the proposed range.

The energy sector in the United States was among the biggest winners last year, as the war in Ukraine piled pressure on the commodities supply chain, but several companies delayed their IPO plans due to a lull in the stock market.

Investors are warming up to IPOs this year after severe volatility last year, triggered by rising interest rates and geo-political turmoil, curbed appetite for new listings and fueled a risk-off sentiment.

Last week, Mediterranean restaurant chain Cava Group saw its valuation nearly double after its shares surged in a stellar market debut.

In May, Johnson & Johnson's consumer health business, Kenvue, managed to complete the largest IPO since Rivian Automotive listed in 2021.

Kodiak Gas Services said it is looking to list its shares on the New York Stock Exchange under the ticker symbol "KGS".

Goldman Sachs & Co. LLC and J.P. Morgan are the lead underwriters for the offering.

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