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Bakkavör: announces successful pricing of IPO

Reykjavik / IS. (bkg) Further to the Update on Intention to Float announcement of 03 November, Island’s Bakkavör Group, a leading provider of fresh prepared food, announces the successful pricing of its initial public offering (IPO) of 144’856’397 Shares at 180 pence per Share (the «Offer Price»). Bakkavor has applied for admission of its Shares to the premium listing segment of the Official List of the FCA and to trading on the London Stock Exchange’s main market for listed securities (together, «Admission»). Admission and the commencement of unconditional dealings are expected to take place at 08:00am on 16 November 2017.

Offer Highlights

  • The Offer Price has been set at 180 pence per Share equating to a market capitalisation of £1’043 million prior to the commencement of unconditional dealings
  • The Offer represents approximately 25 percent of the Shares of the Company
  • Immediately following Admission, the issued share capital of the Company will be 579’425’585 Shares
  • Bakkavor will receive gross proceeds of £100 million from the Offer, which will be used primarily to enable the Group to further invest in the business and reduce its current leverage
  • Following Admission, BP-PE5 L.L.C. will hold 24.8 percent of the Shares. Bakk AL Holdings Ltd., an entity in which Agust Gudmundsson and Lydur Gudmundsson each indirectly owns a 50 percent interest, will hold 50.2 percent of the Shares

Simon Burke, Independent Non-executive Chairman of Bakkavor, said: «The Board and I are delighted to welcome our new shareholders. It is particularly pleasing that our initial register has such a strong presence of well-respected long-term investors, reflecting an appreciation of the quality of the business and its long-term prospects».

Agust Gudmundsson, CEO of Bakkavor, said: «This IPO represents a significant milestone in the development of Bakkavor. Our passion for making the best tasting fresh prepared food, underpinned by our expertise and our focus on innovation, has made Bakkavor the clear leader in an attractive and fast-growing market. We are pleased that this has been recognised by the investor community and look forward to delivering further growth and success as a listed business».