Wayne Farms' IPO a no-go
March 24, 2016
by Erica Shaffer
Wayne Farms decided to withdraw its IPO.
OAKWOOD, Ga. – Wayne Farms, Inc. withdrew its application for an initial public offering valued at $233.8 million, documents filed with the Securities and Exchange Commission show.
“Wayne Farms decided in June, 2015, to suspend its IPO due to market conditions at the time,” the company explained. “The filing yesterday was complying with our requirement to deregister the original IPO filing.”
The company, which is a unit of Continental Grain Co., was offering more than 12 million shares of Class A stock with an option to purchase additional shares in addition to more than 40 million shares of Class B stock. Wayne Farms said in previous SEC filings that the company planned to put the money toward repayment of existing debt, working capital and general corporate purposes and a distribution to Continental Grain.
Wayne Farms is the sixth-largest integrated producer and processor of broiler chicken products in the United States. The company operates nine integrated complexes that include nine hatcheries, nine feed mills, nine slaughter processing plants and two further processing plants.