Shake Shack prices IPO, extra toppings included
Shake Shack, the popular burger chain founded in New York City, priced its initial public offering at $21 a share late Thursday, according to a company press release.
The offering, which raised $105 million, valued Shake Shack at just under $750 million.
The IPO shows the continued interest by Wall Street in fast-food companies. Habit Restaurants, Pollo Loco and Zoe’s Kitchen have all made splashy debuts in the past year.
Shake Shack had initially anticipated a share price in the range of $14 to $16. But investor enthusiasm prompted the company Wednesday to raise that range to $17 to $19, which it ultimately exceeded.
The company, founded in 2004 by restaurateur Danny Meyer, filed for its IPO at the end of December, with the New York Stock Exchange under the symbol “SHAK.” The chain’s stock will begin trading Friday.
As Fortune has reported, Shake Shack recorded about $79 million in sales over the first nine months of 2014. The chain has 63 locations around the world, including restaurants in London and Dubai, though annual sales volume at the chain’s seven Manhattan locations is about 50% higher than at its other locations.
In 2014, Shake Shack opened 10 new company-operated U.S. locations and a dozen new international licensed restaurants. The company has said it could eventually grow to 450 locations.
J.P. Morgan (JPM) and Morgan Stanley (MS) are among the banks underwriting the company’s IPO.
– Reuters contributed to this report
(This story has been updated with additional information)