Salad and pizza maker Bakkavor Group launches GBP100 million London IPO
The company, which supplies meals, salads and pizzas to Tesco, Marks & Spencer Group, J Sainsbury and John Lewis Partnership's Waitrose, said net proceeds from the IPO are anticipated to be in the region of GBP90 million and will be used to to pay down debts and fund new investments.
The IPO will comprise issue of new shares by the company and part sale of shares held by major shareholder Baupost Group and founders, Agust and Lydur Gudmundsson Baupost currently owns 41.0% stake in Bakkavor, while its Icelandic founders owns 59.0%.
The London-headquartered company intends to have a free float of at least 25% of the issued share capital. Founders Agust and Lydur Gudmundsson and Baupost will remain significant shareholders in the group.
Bakkavor was founded in 1986 and had 19,000 employees at the end of 2016. It currently operates 26 factories in the UK, three in the US and eight in China.