JDE Peet's Brings Forward Hot Coffee IPO Due To Strong Demand
Strong investor interest has prompted JDE Peet's, the world's No. 2 maker of packaged coffee, to bring forward to Friday its already speedy initial public offering, the company said in a statement.
JDE, one of the few large companies to brave an IPO during the coronavirus pandemic, has attracted investors including George Soros' Quantum Partners. The company aims to raise €2.3 billion.
Shares will start trading on the Amsterdam Stock Exchange on May 29 instead of June 3, JDE, the owner of brands such as Peet's Coffee, Douwe Egberts, and Jacobs, said on Thursday.
"In light of the strong response by investors to the offer, the closing of the offer is being brought forward," it added in the statement.
JDE's executives held a digital road show due to COVID-19 travel restrictions, which helped cut in half the typical four weeks needed for an IPO.
It also comes amid a market rally on the back of optimism over easing lockdown restrictions.
Instead of the usual celebratory balloons and gong at the start of trading Friday, there were plans to stream the IPO on the internet, but no guests will be allowed, the exchange said.
Books were covered in excess of the full offer size within hours of opening with an indicative price range of €30 to €32.25 per share, valuing the company at up to €16 billion.
Among cornerstone investors buying €761 million worth of shares are Palindrome Master funds, Fidelity Management and Research (FMR) and JAB Holding itself.
An exact price and number of shares will be announced on Friday before listing on the Euronext Amsterdam, the company said.