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Krispy Kreme revenue surges ahead of planned stock market listing

Credit: REUTERS/CARLO ALLEGRI

Adds IPO details, background

June 1 (Reuters) - Krispy Kreme reported a jump in revenue for the first quarter of 2021 as the doughnut chain readies its return to the stock market after five years, according to a filing for an initial public offering (IPO) that was made public on Tuesday.

Krispy Kreme last month confidentially filed with U.S. regulators for an IPO.

The company first went public in 2000, but it had to file for Chapter 11 bankruptcy in 2005 following financial restatements, investigations into its accounting practices and a plunge in sales at some of its franchisees.

It was bought by privately owned JAB Holding Co in a $1.35 billion deal in 2016 when the investment firm was ramping up its bets on coffee and restaurant businesses.

Krispy Kreme's planned listing comes at a time when demand is rising for snacks and sweets from customers craving familiar treats while staying at home due to COVID-19 restrictions.

The company reported revenue of $321.8 million in the quarter ended April 4, compared with $261.2 million a year earlier. (https://bit.ly/3yUuGbK)

Known for its glazed sugary treats, Krispy Kreme opened its first store in North Carolina in 1937 when it started selling doughnuts in local grocery stores. It now sells its treats in grocery and convenience stores in the United States and operates shops in 30 countries.

J.P.Morgan, Morgan Stanley, BofA Securities and Citigroup are lead book-running managers for the offering.

Krispy Kreme plans to list its shares on Nasdaq under the symbol "DNUT".

(Reporting by Noor Zainab Hussain in Bengaluru; Editing by Shounak Dasgupta)

((noor.hussain@thomsonreuters.com; Within U.S. +1 646 223 8780; Outside U.S. +91 80 6182 2663 or +91 80 3796 2663))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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