Australian fast food chain Guzmán y Gómez will go public next month, with an offer that will value the company at $2.2 billion.
The retailer, known for its Mexican-style casual dining, announced on Friday a fully subscribed Initial Public Offering (IPO) of 11.1 million shares at a price of $22 per share.
Guzmán y Gómez expects the offering to raise around $242.5 million.
Of that amount, $200 million will be spent on “the significant expansion of its corporate restaurant network in Australia,” the company said in a statement.
The offering is underwritten by Barrenjoey Markets Pty Limited and Morgan Stanley Australia Securities Limited, acting as joint lead managers.
The shares are expected to list on the ASX under the symbol ‘GYG’ from June 20, initially on a ‘conditional and deferred’ settlement basis.
Australian fast food chain Guzmán y Gómez will go public next month, with an offer that will value the company at $2.2 billion.
“As we begin our next chapter as an ASX-listed company, our vision of reinventing fast food and changing the way the masses eat will remain central to what we do,” said Guzmán y Gómez founder and co-director, Steven Marks.
“We truly believe that fast food doesn’t have to be bad food and we look forward to sharing our food with more guests in Australia and overseas as we look to take advantage of the opportunity we have to grow our network to over 1,000 restaurants around the world. next 20+ years.”
The first Guzmán y Gómez restaurant opened in Sydney in 2006.
Since then, it has expanded to 210 restaurants in four countries: 185 in Australia, 16 in Singapore, 5 in Japan and 4 in the United States.
The company’s global sales rose to $759 million during the last financial year.
The retailer, known for its Mexican-style casual dining, announced on Friday a fully subscribed Initial Public Offering (IPO) of 11.1 million shares at a price of $22 per share.
“We expect our sales growth to continue by opening new restaurants and increasing sales at existing restaurants,” said company co-chairman Hilton Brett.
“We also expect our profitability to improve as we continue to improve our restaurant execution and further leverage the benefits of our increasing scale.”
Another 30 new restaurants are expected to open during fiscal 2025.
Guzmán y Gómez said the company believes it has “substantially built the team, restaurant portfolio and infrastructure” to increase this to 40 restaurants per year, within the next five years.
“The focus will be on self-service restaurants due to their potential to deliver superior restaurant economics,” the company said.
“GYG believes there is an opportunity to grow its Australian network to more than 1,000 restaurants over the next 20 years.”
