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Krispy Kreme stock rises to $21 a share in IPOKrispy Kreme stock rises to $21 a share in IPO

Doughnut brand prices stock at $17 a share in opening, below $21-$24 range projected earlier

Ron Ruggless, Senior Editor

July 1, 2021

1 Min Read
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Krispy Kreme Inc. priced its initial public offering at $17 a share, down from an earlier projected range of $21 to $24 a share, as it begin trading Thursday on the Nasdaq Global Select Market. It closed Thursday at $21 a share, more than 23% above its midday debut.

The Charlotte, N.C.-based doughnut brand said Wednesday it planned to sell 29 million shares, raising about $500 million. The number of shares was increased from earlier stated plans, but the amount raised was short of the more than $600 million projected earlier in the month.

Shares were traded under the ticker symbol “DNUT.”

Krispy Kreme, which was owned by food- and consumer-goods focused investment firm JAB Holdings, had said in earlier Securities and Exchange Commission filings that it planned to use part of the IPO proceeds to pay down debt and buy back shares. JAB indicated it would hold about 78% of the Krispy Kreme shares after the offering.

Krispy Kreme also owns the Insomnia Cookies delivery brand.

It is a return to the public markets for the company. Krispy Kreme was a publicly traded company from 2000 to 2016, when JAB took the company private in a $1.35 billion deal.

Lead managers in the Krispy Kreme IPO were JPMorgan Chase & Co., Morgan Stanley, Bank of America Corp. and Citigroup Inc.

About 17 companies were scheduled to enter the public markets this week.

Update July 1, 2021: This story was updated with Krispy Kreme's Thursday closing price.

Contact Ron Ruggless at [email protected]

Follow him on Twitter: @RonRuggless

 

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About the Author

Ron Ruggless

Senior Editor, Nation’s Restaurant News / Restaurant Hospitality

Ron Ruggless serves as a senior editor for Informa Connect’s Nation’s Restaurant News (NRN.com) and Restaurant Hospitality (Restaurant-Hospitality.com) online and print platforms. He joined NRN in 1992 after working 10 years in various roles at the Dallas Times Herald newspaper, including restaurant critic, assistant business editor, food editor and lifestyle editor. He also edited several printings of the Zagat Dining Guide for Dallas-Fort Worth, and his articles and photographs have appeared in Food & Wine, Food Network and Self magazines. 

Ron Ruggless’ areas of expertise include foodservice mergers, acquisitions, operations, supply chain, research and development and marketing. 

Ron Ruggless is a frequent moderator and panelist at industry events ranging from the Multi-Unit Foodservice Operators (MUFSO) conference to RestaurantSpaces, the Council of Hospitality and Restaurant Trainers, the National Restaurant Association’s Marketing Executives Group, local restaurant associations and the Horeca Professional Expo in Madrid, Spain.

Ron Ruggless’ experience:

Regional and Senior Editor, Informa Connect’s Nation’s Restaurant News and Restaurant Hospitality (1992 to present)

Features Editor – Dallas Times Herald (1989-1991)

Restaurant Critic and Food Editor – Dallas Times Herald (1987-1988)

Editing Roles – Dallas Times Herald (1982-1987)

Editing Roles – Charlotte (N.C.) Observer (1980-1982)

Editing Roles – Omaha (Neb.) World-Herald (1978-1980)

Email: [email protected]

Social media:

Twitter@RonRuggless

LinkedIn: www.linkedin.com/in/ronruggless

Instagram: @RonRuggless

TikTok: @RonRuggless

 

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