Dunkin’ Brands Group, Inc., the parent company of Dunkin’ Donuts and Baskin-Robbins, today announced that it has filed a registration statement with the U.S. Securities and Exchange Commission for a proposed initial public offering of $400 million of its common stock. All of the shares would be sold by Dunkin’ Brands. No shares are being offered by existing shareholders. The offering is being made through an underwriting group led by J.P. Morgan Securities LLC, Barclays Capital Inc. and Morgan Stanley & Co. Incorporated. BofA Merrill Lynch and Goldman, Sachs & Co. are also acting as joint book-running managers of the offering. Dunkin’ Brands intends to use the net proceeds from the offering to fund a portion of the redemption price for the outstanding Dunkin’ Brands, Inc. 9 5/8% senior notes due 2018.
Dunkin’ Brands also plans to borrow $100 million of additional term loans under its existing senior secured credit facility, subject to completion of definitive documentation, bringing the total amount of term loans to approximately $1.5 billion. The company plans to use the proceeds from the additional term loans to repay an equal amount of the company’s outstanding senior notes so that total debt will remain unchanged. The maturity date of the term loans will remain November 23, 2017.
With more than 16,000 points of distribution in 57 countries worldwide, Dunkin’ Brands Group, Inc. is the world’s leading franchisor of quick service restaurants (QSR) serving hot and cold coffee and baked goods, as well as hard-serve ice cream. At the end of 2010, Dunkin’ Brands’ nearly 100 percent franchised business model included 9,760 Dunkin’ Donuts restaurants and 6,433 Baskin-Robbins restaurants, and the company had system-wide sales of approximately $7.7 billion. Dunkin’ Brands Group, Inc. is headquartered in Canton, Mass.