(Bloomberg) -- Krispy Kreme is poised to be a public company for the second time after confidentially filing for a public share offering in the U.S.
The number of shares to be sold and the price range hasn’t been determined, the company said in a statement. The offering is expected to take place after a review by the Securities and Exchange Commission.
JAB acquired Krispy Kreme for $1.35 billion in a 2016 deal. The company has expanded aggressively in restaurants and beverages and controls Pret a Manger and JDE Peet’s. The latter company, which owns the Peet’s coffee chain and brands such as Senseo, Tassimo, Stumptown and Intelligentsia, went public last year in Amsterdam.
JAB is an investment vehicle for the Reimanns, heirs to a fortune from an industrial chemicals business and one of Germany’s wealthiest families. Earlier, the company named Joachim Creus as vice-chairman of the board to eventually succeed Chairman Peter Harf, part of a plan to position the firm for its next phase of growth.
Krispy Kreme first went public in the U.S. in 2000 and its popularity sent shares soaring that year. But in 2004, the SEC started an inquiry into accounting irregularities and the stock bottomed out near $1 a share. Its stock rebounded somewhat over the next decade or so, but the chain struggled to compete with larger competitors.
Restaurants and cafes were hit hard by the pandemic -- especially those in city centers that depend on commuters. U.S. coffee chains will take two years to fully recover from the sales plunge, market researcher Allegra Group said earlier this year.
(Updates to show filing was made confidentially in first paragraph and adds background in last paragraph.)
For more articles like this, please visit us at bloomberg.com
Subscribe now to stay ahead with the most trusted business news source.
©2021 Bloomberg L.P.