Burlington Shares Pop on IPO
October 2, 2013 by Paul AusickThe company is the parent of Burlington Coat Factory stores and was taken private in 2006 by Bain Capital for about $2.06 billion. Bain will retain ownership of approximately 80% of the outstanding shares.
Net proceeds from the offering will be used to redeem $170.6 million 9%/9.75% of senior notes due in 2018, an $11 million termination fee to an affiliate of Bain Capital and for other general corporate purposes.
Burlington Coat Factory owns 503 stores in 44 states and Puerto Rico. As a discount clothing retailer it competes with Ross Stores Inc. (NASDAQ: ROST) and TJX Companies Inc. (NYSE: TJX). The retailer filed for its IPO at about the same time as Neiman Marcus, but has beaten the luxury retailer to market.
Shares of Burlington are up about 37.7% at $23.43 after the first 40 minutes of trading this morning.
Take This Retirement Quiz To Get Matched With An Advisor Now (Sponsored)
Are you ready for retirement? Planning for retirement can be overwhelming, that’s why it could be a good idea to speak to a fiduciary financial advisor about your goals today.
Start by taking this retirement quiz right here from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes. Smart Asset is now matching over 50,000 people a month.
Click here now to get started.