Inventory falls 9% on New York Inventory Alternate debut
The New York Stock Exchange welcomes Dole (NYSE: DOLE) executives and guests to celebrate its IPO on July 30, 2021. To mark the occasion, Johan Linden, Chief Operating Officer, Seamus Mulvenna, CEO Total Produce North America, and Shane Power, Corporate Finance Director, along with Chris Taylor, Vice President, NYSE Listings and Services, will ring The Opening Bell®.
Dole’s shares closed more than 9% on Friday as the company returned to the public markets.
The stock opened at $ 15 per share, which gave the company an implied market value of approximately $ 1.5 billion. However, the opening trade fell below its $ 16 share price, which was already at the lower end of Dole’s expected range. The stock trades on the New York Stock Exchange under the symbol “DOLE”.
The IPO marks the completion of Dole’s merger with Total Produce, creating the world’s largest fresh produce company. The two companies announced the deal in February. The IPO brought the newly formed company gross proceeds of $ 400 million. She intends to use the money to pay for the merger and pay off her debt.
In 2020, the two companies had combined net sales of $ 8.97 billion and net income attributable to shareholders of $ 80.1 million. Dole Food made up just over half of total sales.
“The big advantage we have is an enormous variety of sourcing opportunities,” said Rory Byrne, CEO of Dole, who held the same position at Total Produce prior to the merger.
Byrne said the company does not expect the ongoing California drought to have a material impact. As of March 31, it owns more than 109,000 acres around the world.
Dole was founded in 1851 and was previously listed twice. The now 98-year-old billionaire David Murdock last privatized the company in 2013 for $ 1.3 billion. Five years later, Total Produce bought a 45 percent stake in Dole for $ 300 million.
Despite a hot IPO this year, Dole is not the only stock to be frostily received by investors. Robinhood made its public market debut Thursday, closing more than 8%.