Bridgepoint, a UK-based private equity firm, is working with bankers to prepare a US listing of Pret A Manger, a fast-growing food and coffee shop chain beloved by London office workers.
According to sources JPMorgan and Jefferies have recently been appointed to lead an initial public offering (IPO) of Pret, which could take place before the end of the year in New York. Credit Suisse, Barclays and Piper Jaffray are also working on the deal.
Details of the appointment of bankers running the IPO were first reported by Bloomberg. The appointments took place recently, and terms between Bridgepoint, Pret and the banks are under negotiation, one source said. "Nothing has been decided on anything, there is now a lot of research and prep work to be done."
JPMorgan declined to comment. Bridgepoint said: “As a committed shareholder in Pret we are always exploring appropriate opportunities to ensure the future growth of the company. If such opportunities materialise, we will update the market.”
New stores
Pret recently reported that total sales rose 15 per cent to £776 million (€923.7m) in 2016, and 50 new stores were opened, taking the total number of shops to 444. Earnings before interest, tax, depreciation and amortisation rose 11 per cent to £93 million (€110m).
Founded in London in 1986, Pret mainly operates in the UK, but is expanding overseas – earlier this year it said half of its new stores would be outside the UK.
It has become almost ubiquitous in central London, and is now focusing its UK expansion efforts beyond the city centre and in other cities. It has also said it will expand in transport hubs and hospitals. Last year it opened shops in the US, France, Hong Kong, China and Dubai. – Copyright The Financial Times Limited 2017
