In a strange turn of events, Bakkavor, which supplies ready meals and other prepared food to the UK’s major supermarkets from its factories in Newark, Bourne and Spalding, has announced a u-turn on its decision not to float.
Having originally announced its intention to float last month, with trading expected to start in November a decision was made last Friday that it would no longer proceed – despite receiving sufficient institutional demand.
This morning Bakkavor has announced a change of heart and announced the IPO offering is back on with 144,856,397 shares at 180 pence per Share, valuing the company at £1.043bn.
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, Chief Executive 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.”