Pinnacle Foods Eyeing US$2 billion in IPO
Pinnacle Foods, the packaged food maker owned by the Blackstone Group LP is deep in preparations for its initial public offering. The projected proceeds from the IPO is at US$667 million. These facts were read into a regulatory filing made with the US Securities and Exchange Commission, as it plans to sell 29 million shares valued between US$18 and US$20 per share.
Should the top price be the basis for the IPO, the owner of Bird Eye and Duncan Hines brands would top off their IPO at US$2.3 billion. The initial placeholder amount was set at US$100 million when it filed for IPO last December but it increased the amount to as much as US$632.5 million.
The company was purchased by Blackstone last 2007 and with the IPO, Blackstone would retain 68% ownership stake in the food maker after the IPO, assuming underwriters would exercise their option to purchase additional shares in the IPO.