Roundy’s Inc. today announced the pricing of an underwritten public offering of more than 8.8 million shares of its common stock at a price to the public of $7 per share.
The company is offering 2.9 million shares of its common stock, and certain selling stockholders are offering 5.9 million shares of the company’s common stock.
The underwriters have been granted a 30-day option to purchase up to an additional 1.3 million shares of common stock from the selling stockholders, all at the offering price less the underwriting discount. The offering is expected to close on Feb. 12.
The parent company of Roundy’s Pick n’ Save intends to use the net proceeds for general corporate purposes, which it expects to include funding working capital and operating expenses as well as capital expenditures to open Mariano’s Markets in the Chicago market.
Credit Suisse and J.P. Morgan, along with BofA Merrill Lynch and BMO Capital Markets, are acting as joint bookrunning managers for the offering. Milwaukee-based Robert W. Baird & Co. Inc. is acting as lead manager.
