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Finance5 similar reports mergedJersey Mike's Begins IPO Road Show, Targets Valuation Up to Nearly $8 Billion
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Jersey Mike's Subs has launched the road show for its initial public offering (IPO), aiming to raise up to $1.1 billion by selling 43.5 million shares priced between $21 and $25 each. The sandwich chain targets a market valuation of up to $7.9 billion. The offering includes 13.8 million new shares and 29.7 million shares sold by existing investors, including Blackstone and the Abu Dhabi Investment Authority. Following the IPO, Blackstone is expected to retain majority voting control. Net proceeds of about $301 million will be used for general corporate purposes, including strengthening the balance sheet and potentially reducing debt. The IPO could become the largest restaurant industry public offering in two decades, surpassing Krispy Kreme's 2021 IPO. Jersey Mike's operates nearly 3,300 locations across the US and is the second-largest US sandwich chain by store count behind Subway. The stock will list on the NYSE under ticker 'JMKE'.
Source report
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Jersey Mike’s Subs has launched the road show for its proposed initial public offering (IPO), aiming to raise up to nearly $1.1 billion through the sale of Class A common stock.
Key Details of the Offering
- Shares offered: Approximately 43.5 million shares
- Price range: $21 to $25 per share
- Expected gross proceeds: $913 million to $1.1 billion
- Market capitalization at midpoint: Roughly $7.3 billion
- Market capitalization at top end: Approximately $7.9 billion
Stock Listing
Jersey Mike’s plans to list its Class A common stock on the New York Stock Exchange under the ticker symbol “JMKE.” The company has not yet disclosed when shares are expected to begin trading.
Share Structure
The offering includes both newly issued shares and shares sold by existing investors:
- New shares issued by the company: 13.8 million
- Shares sold by existing shareholders: Approximately 29.7 million (including Blackstone and the Abu Dhabi Investment Authority)
- Underwriter option: An additional 6.5 million shares
Post-IPO Control and Use of Proceeds
Following the IPO, Blackstone is expected to retain majority voting control, and Jersey Mike’s will operate as a controlled company. The company expects net proceeds of approximately $301 million at the midpoint of the offering, which will be used for general corporate purposes, including strengthening its balance sheet and potentially reducing debt.
Industry Significance
According to data from Aaron Allen & Associates, the IPO could become the largest restaurant industry public offering in two decades, surpassing Krispy Kreme’s roughly $500 million IPO in 2021.
Company Profile
Jersey Mike’s operates nearly 3,300 locations across the United States and is the second-largest U.S. sandwich chain by store count, behind Subway.
Source
Yahoo FinanceWestern
Part of this Story
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