(Corrects paragraph 2 in May 4, 2021 story to say a Krispy
Kreme unit, not the company, filed for Chapter 11 bankruptcy)
May 10 (Reuters) - Krispy Kreme said on Tuesday it had
confidentially filed with U.S. regulators for an initial public
offering, a move that would result in the doughnut chain's
return to the stock market five years after it was taken
private.
The company first went public in 2000, but a unit had to
file for Chapter 11 bankruptcy 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.
The doughnut chain's move would help it tap into a historic
boom in U.S. capital markets, with companies raising $167
billion in 2020, according to Dealogic data, a record that
investment bankers expect will be surpassed this year.
It also 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.
As a part of a promotion earlier this year, the company gave
away free glazed doughnuts to anyone who showed a valid COVID-19
vaccination card at a Krispy Kreme store in the United States.
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
12,000 grocery and convenience stores in the United States and
operates nearly 1,400 shops in 33 countries.
Rival Dunkin' Brands was taken private last year by Inspire
Brands, owner of Arby's and Sonic Drive-In, for $8.76 billion.
(Reporting by Nivedita Balu and Noor Zainab Hussain in
Bengaluru; Editing by Aditya Soni
Nivedita.Balu@thomsonreuters.com; within U.S. +1 646 223 8780;
outside U.S. +91 80 6749 4822/ Twitter: @niveditabalu;)
outside U.S +91 80 6749 6125; Reuters Messaging: Reuters
Messaging: sweta.singh.thomsonreuters.com@reuters.net))
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