On, then off, now on again—what seems like a never-ending saga of Albertsons IPO plans may be coming to an end as soon as tomorrow, sources are now reporting.
A new filing submitted by Albertsons to the SEC says the company will now be offering 65,306,122 shares at a price of between $23.00 and $26.00 per share. The filing states that underwriters are also considering a purchase of up to an additional 9,795,918 shares—this would raise the company between $1.5 and $2 million if all shares were sold.
The company’s filling reports that an IPO will occur “as soon as practicable,” but Dakota Financial News gives an expected IPO date of December 1, 2015.
As we’ve previously reported, Albertsons had initially planned an IPO for October of 2015, but postponed these plans citing unfavorable market conditions following a disappointing fiscal 2016 outlook from competitor, Wal-Mart. At the time of the delay, a person familiar with the matter told CNBC that if the IPO were to be priced when originally expected, the best underwriters could expect is a share price of $18.
Earnings from the IPO will be used in part to pay down the company’s debt, which was in the range of $12 billion.
As of June 20, 2015, the company operates 2,205 stores across 33 states under 18 banners. Albertsons operates 30 distribution centers and 21 manufacturing facilities.
For a more definitive timeline on when Albertsons' IPO will occur and continued updates as they are released, check back with DeliMarket News in the coming days.