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Portillo's announces public offering of 8 million shares

EditorNatashya Angelica
Published 02/28/2024, 04:54 PM
© Reuters.
PTLO
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CHICAGO - Portillo's Inc. (NASDAQ: PTLO), a well-known fast-casual restaurant chain offering Chicago-style favorites, has announced an underwritten public offering of 8 million shares of its Class A common stock. The offering also includes an option for the underwriter to purchase up to an additional 1.2 million shares.

The company plans to use the proceeds from the offering in a "synthetic secondary" transaction, which will involve the purchase and cancellation of limited liability company units of PHD Group Holdings LLC and the repurchase of Class A common stock shares from certain holders.

This transaction is designed to be non-dilutive, meaning the total count of common stock shares, including both Class A and Class B, will remain unchanged. However, the number of Class A shares will increase while Class B shares will decrease correspondingly.

After the completion of the offering, it is expected that approximately 61,554,064 Class A common stock shares and 11,579,326 Class B common stock shares will be outstanding. This number may change if the underwriters exercise their over-allotment option in full, resulting in 62,438,104 Class A shares and 10,695,286 Class B shares.

BofA Securities is serving as the sole underwriter for the offering. The shares will be offered on the Nasdaq and potentially through other markets at prices based on the prevailing market rates or negotiated prices.

The offering is made possible by an effective shelf registration statement filed with the Securities and Exchange Commission (SEC). Interested investors are advised to read the prospectus and other related documents filed with the SEC for more detailed information about the company and the offering.

Portillo's, which started as a small hot dog stand in 1963, has expanded to over 80 restaurants across 10 states, famous for its menu items like Chicago-style hot dogs and Italian beef sandwiches.

This news is based on a press release statement from Portillo's Inc.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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