BOISE, Idaho — Albertsons Cos. announced earlier this month that it has filed a registration statement on Form S-1 with the Securities and Exchange Commission for a proposed initial public offering consisting of common stock to be sold by certain of its stockholders and the issuance by the company of Series A mandatory convertible preferred stock.
The company is looking to raise $100 million with the IPO. It intends to trade its stock on the New York Stock Exchange under the symbol ACI.
The company has been privately owned for 14 years by private equity firm Cerberus Capital Management.
For eight straight quarters, Albertsons Cos. has reported increases in revenue, the filing shows. Through the first nine months of fiscal 2020, ended February 29, the company reported earnings of $398.6 million on sales of more than $47 billion, according to its IPO documents.
BofA Securities, Goldman Sachs & Co., J.P. Morgan and Citigroup are acting as lead joint book-running managers for the proposed common stock offering. Credit Suisse, Morgan Stanley, Wells Fargo Securities, Barclays and Deutsche Bank Securities are acting as book-running managers for the proposed common stock offering. BMO Capital Markets, Evercore ISI, Guggenheim Securities, Oppenheimer & Co., RBC Capital Markets, Telsey Advisory Group, MUFG, Academy Securities and Blaylock Van, are acting as co-managers for the proposed common stock offering.
In the filing to prospective stockholders, president and chief executive officer Vivek Sankaran wrote, “When I joined Albertsons from PepsiCo in April of 2019, I found a company that was well positioned to benefit from changes affecting shopping and eating habits. The banners that make up Albertsons have earned customer loyalty over decades. Yet, in many ways, our company is only a few years old. Since the Safeway merger in 2015, we have successfully completed the integration of our stores, supply chain and technology platforms. We have invested in capabilities allowing us to serve the customer wherever, whenever and however they choose to shop. We now benefit from one of the industry’s largest networks of First-and-Main, food retail locations with leading market shares in valuable and growing markets. It allows us to serve our customers locally, while delivering the advantages of national scale.”