Krispy Kreme is being lined up for a Nasdaq IPO that will mark a major jump in value for the doughnut chain that was taken private by German conglomerate JAB Holding in 2016.
The doughnut chain was bought by JAB, a vehicle for the Reimann family, for around US$1.35bn.
It now seeks to raise US$560mln to US$650mln in an IPO that values the doughnut chain at US$3.46bn to US$3.96bn.
Proceeds are earmarked for debt repayment, share buy-backs from executives, and general corporate purposes.
A regulatory filing on Tuesday revealed an indicative pricing range of US$21 to US$24 per share, and, proposed the listing on Nasdaq under the ticker ‘DNUT’.
Shares equating to around 16.6% of the company will be sold in the IPO whilst JAB is expected to retain around 38.6% and other existing shares will be redistributed to minority investors.
JAB represents the investment interests of the children of the late Albert Reimann, who had historic family ties and inheritance to the Benckiser chemical company.
Its investment track record has included interests in Reckitt Benckiser, Keurig Dr Pepper, Jacobs Douwe Egberts, Jimmy Choo, Caribou Coffee and Panera Bread.
In April, JAB completed a US$800mln refinancing of Panera Bread in a move which, according to reports, paves the way for the sandwich chain to be floated in public markets.
Similarly to Krispy Kreme, JAB acquired and took Panera private in 2017.