Southeastern Grocers, a southeastern US supermarket chain operating under Winn-Dixie and other banners, announced terms for its IPO on Thursday.
The Jacksonville, FL-based company plans to raise $134 million by offering 8.9 million shares (100% secondary) at a price range of $14 to $16. At the midpoint of the proposed range, Southeastern Grocers would command a fully diluted market value of $725 million. The company plans to issue a quarterly dividend for an annualized yield of 2.75% of the IPO price ($0.10 at the midpoint).
Southeastern Grocers operates 420 stores under the "Winn-Dixie," "Harveys," and "Fresco y Más" supermarket banners and is estimated to be the sixth largest conventional supermarket operator in the US and the second largest conventional supermarket operator in its six major markets.
Southeastern Grocers was founded in 1924 and booked $9.3 billion in sales for the 12 months ended September 30, 2020. It plans to list on the NYSE under the symbol SEGR. BofA Securities, Goldman Sachs, Deutsche Bank, BMO Capital Markets, Wells Fargo Securities and Truist Securities are the joint bookrunners on the deal. It is expected to price during the week of January 25, 2021.
