GYG increases IPO size to $335m
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The news: Guzman y Gomez has increased its initial public offering size by 38% to $335.1 million following more commitments for shares.
The number: The IPO offer size increased from $242.5 million to $335.1 million which reflected an additional selldown of $92.6 million. GYG noted the primary proceeds raised under the offer remained unchanged at $200 million.
The context: The offer size increase was due to receiving a commitment from “one or more funds” advised by Capital Research Global Investors to subscribe for shares at the offer price.
GYG said to accommodate the extra investment, TDM Growth Partners would sell down a portion of its stake but would remain a large shareholder in GYG with a holding of 26.2% of GYG’s issued capital on a fully diluted basis.
About 59% of GYG’s issued capital is represented by the board, senior management and existing shareholders.
GYG announced its IPO last month and said the offer would be used to fund the company's growth strategy over the coming years, primarily focused on the significant expansion of its corporate restaurant network in Australia.
The IPO values the company at $2.2 billion and it will be the first billion-dollar float since Florida-based fund manager GQG listed in 2021.
What they said: GYG founder and co-CEO Steven Marks said: “We are pleased to announce the upsizing of our IPO… We welcome Capital Research Global Investors to the GYG register”.
“We have an exceptional group of cornerstone investors on our register, validating the strength of our offering in the quick service restaurant segment both locally and internationally, and the appeal of our clean, fresh and made-to-order Mexican inspired food,” he said.
The source: GYG media release
