Dunkin' looks to raise $461 million through i.p.o.

by Eric Schroeder
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NEW YORK — Dunkin’ Brands Group Inc., which owns Dunkin’ Donuts and Baskin-Robbins, plans to raise as much as $461 million when it takes the company public, up from the $400 million it originally estimated in early May. In a July 11 filing with the Securities and Exchange Commission, Dunkin’ Brands said it is selling 22,250,000 shares of common stock at an estimated price of $16 to $18 per share.

Additionally, Dunkin’ Brands has granted the underwriters a 30-day option to purchase up to an additional 3,337,500 shares.

The company has applied to have its shares of common stock listed on the NASDAQ Global Select Market, subject to notice of issuance, under the symbol “DNKN.”

“We expect to receive net proceeds, after deducting estimated offering expenses and underwriting discounts and commissions, of approximately $348.4 million (or $401.4 million if the underwriters exercise their option to purchase additional shares in full), based on an assumed offering price of $17 per share (the mid-point of the price range set forth on the cover of this prospectus),” Dunkin’ Brands stated in the filing. “We intend to use the net proceeds from this offering, together with the net proceeds from our additional $100 million of term loan borrowings … and available cash to repay all amounts outstanding under the Dunkin’ Brands, Inc. 9 5/8% senior notes due 2018, and to use any remaining net proceeds for working capital and for general corporate purposes.

As of April 30, 2011, there was approximately $475 million in aggregate principal amount of the Dunkin’ Brands, Inc. 9 5/8% senior notes outstanding.”

Dunkin’ Brands did not say when the company’s stock might start trading.

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