Reynolds will come to market after such mega deals in 2019 on average delivered their best first month of trading since 2014, though they still lagged the broader U.S. IPO market, according to data provider Dealgoic.

One issue with such large deals is securing enough demand as well as discerning which investors buying shares are long-term holders of the stock and which will be looking to sell out quickly.

The U.S. IPO market got off to a sluggish start last week with a trickle of sub-$150 million deals.

In a regulatory filing, Reynolds said it would look to sell 41.17 million shares at a target price range of $25-$28 per share. At the top end, the IPO would value Reynolds at $5.67 billion.

(GRAPHIC: Mega deals lag broader U.S. IPO market - https://fingfx.thomsonreuters.com/gfx/editorcharts/REYNOLDS%20CONSUME-IPO/0H001QXXRBK2/eikon.png)

Lake Forest, Illinois-based Reynolds is likely to price its IPO on Jan. 30 before debuting on the Nasdaq the following day under the symbol "REYN".

Reynolds primarily sells cooking products, waste and storage products and tableware through several brands, including Reynolds and Hefty.

After the IPO, just over three quarters of the company's voting power will be controlled by New Zealand billionaire Graeme Hart. Rank Group, Hart's investment firm, in 2008 bought Alcoa's packaging and consumer businesses which later became Reynolds Consumer Products through multiple add-on acquisitions.

For 2019, Reynolds said it expects net income to be between $220 million and $224 million, up from $176 million in 2018, though net revenues are seen slipping to around $3 billion from $3.14 billion a year earlier.

The company plans to use the IPO proceeds to pay down a portion of its debt.

Reynolds had eyed completing a public listing towards the end of 2019 but was among a slew of companies to postpone IPO plans because of investor pushback against company valuations, Reuters reported last month.

Credit Suisse, Goldman Sachs and J.P. Morgan are the leading underwriting banks on the IPO.

By Joshua Franklin