SYRACUSE N.Y. Shares of Carrols Restaurant Group Inc., the largest franchisee in the Burger King system, rose 16.9 percent during their initial day of trading to close Friday at $15.20.
Shares of Carrols Restaurant Group Inc., the largest franchisee in the Burger King system, rose 16.9 percent during their initial day of trading to close Friday at $15.20. The company, based here, issued 10 million shares of common stock at a per-share price of $13 that morning, down from the original pricing of 15 million shares at $14 to $16 each.
Carrols offered about 5.7 million shares and selling stockholders, including private equity firm Madison Dearborn Partners, sold about 4.3 million shares. Shareholders had originally planned to sell 9.3 million shares. Proceeds from the sale of stockholders’ shares do not go to Carrols, and the company said it expected to net proceeds of about $69 million, according to its final prospectus filed with the U.S. Securities & Exchange Commission. The offering is expected to close on Dec. 20, the company said.
Carrols is the largest Burger King franchisee and operates 328 of those restaurants. It also owns and operates 73 Pollo Tropical restaurants and 141 Taco Cabana units and franchises an additional 23 restaurants under those brands.
Wachovia Securities and Banc of America Securities LLC are serving as joint book-running managers with RBC Capital Markets and Raymond James serving as co-managers of the offering.