CKE Inc postpones initial public offering

Fri Aug 10, 2012 6:03am IST

Stocks

   

Aug 9 (Reuters) - CKE Inc has postponed its initial public offering citing market conditions, the fast-food chain operator said in a statement.

The private equity-backed company had told the U.S. Securities and Exchange Commission, last week, that it was expecting to sell 13.3 million shares at $14 to $16 per share.

While the S&P 500 has chalked up three-month highs every day this week, the index has climbed only 0.6 percent over the past three sessions, an indication that investors aren't prepared to make aggressive bets despite better-than-expected jobless claims and U.S. trade data.

CKE, which was expected to start trading on Friday on the New York Stock Exchange under the symbol "CK," was offering 6.7 million shares, while selling stockholders offered the rest.

The company, which operates the Carl's Jr and Hardees fast-food chains, hoped to use part of the IPO proceeds to repay debt.

Morgan Stanley, Citigroup and Goldman Sachs were the lead underwriters of the offering.

Carpinteria, California-based CKE was taken private by Apollo Management in a nearly $700 million deal in 2010.

The company, which has more than 3,000 owned or franchised locations across 42 U.S. states and 25 countries, competes with fast-food giants like McDonald's and Burger King .

Other companies that are scheduled to start trading on Friday include the British soccer club Manchester United Ltd and debt-collection company Performant Financial Corp.

Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

REUTERS SHOWCASE

Coal Block Allocation

Coal Block Allocation

Government urges Supreme Court to not cancel some 'illegal' coal mines  Full Article 

Modi in Japan

Modi in Japan

Japan and India agree to boost strategic ties at summit  Full Article 

Basel III Norms

Basel III Norms

RBI amends Basel III guidelines for banks  Full Article 

HSBC PMI

HSBC PMI

Factory activity expands at slower clip in August.  Full Article 

Current Account

Current Account

Balance of payments surplus for third straight quarter  Full Article 

India Infrastructure

India Infrastructure

RBI rule handicaps India's infrastructure hopes  Full Article 

Book Talk

Book Talk

Reema Abbasi and a glimpse of Pakistan’s Hindu past  Full Article 

China Economy

China Economy

Retreat in China's PMIs heightens calls for policy easing.  Full Article 

Managing Share Sales

Managing Share Sales

Govt seeks bids from banks to manage PFC, REC share sales   Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage