Krispy Kreme to go public (again), raise $100M in IPO

Iconic doughnut brand files for initial public offering four years after JAB took it private

Krispy Kreme filed a registration for a proposed IPO with the Securities and Exchange Commission (SEC). The S-1 filing for the initial public offering, with a total aggregate value of $100M, is the first step in the coffee & doughnut brand’s return to the public markets.

In 2016, JAB Holdings affiliates acquired and took Krispy Kreme private for $1.35B.

After the SEC review is complete, Krispy Kreme plans to file on NASDAQ under ticker symbol DNUT.

The iconic doughnut producer and franchise is in an opportunistic position to continue to grow the brand after achieving net revenue CAGR of 19.1% in the last four years, while the indulgence category market is growing at a 4% clip, according to its S-1 filing.

Net revenues include its acquisition of doughnut shops that were formerly franchised. In 2020, Krispy Kreme generated $1,122M in net revenue and grew its access points, including its food retailer presence, to 8,782 locations from 5720 in 2016. It posted EBITDA of $152.8M and a $60.9M net loss.

In the recent past, the sweet-treats enterprise has developed a larger omnichannel business. In 2018, it acquired the Insomnia Cookie chain, which already had a well-built e-commerce business.


Krispy Kreme plans to grow by increasing trial and frequency of its products; by expanding its omnichannel network in existing markets and in new markets; growing Insomnia Cookie, as well as continuing to establish additional benefits from its omnichannel model.

The 83-year old doughnuts brand has been revitalized, according to a presentation in the S-1 filing, and is poised for growth. In the past few years, Krispy Kreme has purchased franchises back in an effort to have more control of the brand. Over the past three years, more than $324M was paid to acquire several formerly-franchised operations, including KK Japan, KK Mexico and KK Australia. In addition, the company listed $140M paid in the acquisition of the Insomnia Cookie business.

J.P. Morgan, Morgan Stanley, BofA Securities, and Citigroup are lead book-running managers for the proposed offering. BNP PARIBAS, Deutsche Bank Securities, Evercore ISI, Goldman Sachs & Co. LLC, HSBC, Truist Securities, and Wells Fargo Securities are serving as joint book-running managers. Capital One Securities, C.L. King & Associates, Credit Agricole CIB, Mischler Financial Group, Inc., MUFG, Ramirez & Co., Inc., Santander Investment Securities Inc., and Siebert Williams Shank, are acting as co-managers.


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