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Southeastern Grocers Inc. is putting its IPO in the background.
The parent company of Bi-Lo, Fresco y Más, Harveys Supermarket and Winn-Dixie said Friday it is postponing the offer and will continue to evaluate the timing of the proposed offer “as market conditions develop”. It is the second time Southeastern has gone public in recent years, the first in 2014.
The decision to postpone the latest offering comes after a wild week of trading in which a tidal wave of purchases sparked by a Reddit message board sparked sharp moves in GameStop and other stocks, and ultimately resulted in brokers trading restricted. Reuters reported that the grocer made the decision due to a lack of demand in the price range it was targeting.
Southeastern finalized the terms of the offering last week, saying shareholders would offer 8.9 million common shares at an expected price of $ 14-16 per share, an increase to $ 142.4 million. The grocer has applied to be listed on the New York Stock Exchange under the ticker symbol “SEGR”.
Southeastern Grocers, based in Jacksonville, Florida, has shifted its focus since it went bankrupt in 2018. In June, the company announced plans to divest its South Carolina-based Bi-Lo chain.
“The company made a strategic decision to stop doing business under the Bi-Lo banner in order to facilitate major investments in growing the Fresco y Más, Harveys Supermarket and Winn-Dixie banners,” said Southeastern at the time.
As Southeastern continues to sell bi-lo stores, it is expanding its Winn-Dixie banner.