The Fresh Market IPO: Updates on TFM Stock
The Fresh Market IPO is coming and investors have taken notice. The company announced its plans to go public soon. So, when can investors expect TFM stock?
The Fresh Market IPO: About the Business
The Fresh Market is a local neighborhood grocery store owned and operated by Associated Food Stores. The company prides itself on serving high-quality, fresh foods and difficult-to-find items. In addition, The Fresh Market offers wholesome products to fit customers’ lifestyles, including natural, organic and gluten-free product lines. President and CEO, Jason Potter, said…
Our core product offering of high-quality fresh food, hard-to-find ingredients and specialty foods, local items, and curated meal offerings is resonating with our guests, both old and new. We believe The Fresh Market is positioned to capture the secular trend of consumer preference for higher-quality, fresh food … As others in the industry have become more conventional, we have continued to differentiate our offering to create excitement about our brand’s reputation.
Currently, The Fresh Market operates 159 stores in 22 states. The company’s supply chain allows for food delivery from farm-to-shelf in 14 days or less. Moreover, The Fresh Market has a dedicated team that sources local products to ensure differentiation from conventional retailers. This presents a unique opportunity for The Fresh Market IPO. However, this won’t be the company’s first time going public…
The Fresh Market IPO Returning to the Market
This isn’t the first Fresh Market IPO rodeo. The company is going public for a second time after a six-year run as a private company.
The Fresh Market went public in 2010. However, the company went private after private equity firm Apollo Global Management acquired the company in 2016. In the years since, the company has reduced its store count and returned to its roots as a specialty retailer.
The company hired longtime grocery veteran and turnaround specialist Potter as CEO in early 2020. Having decades of specialized experience in the grocery industry, the company saw Potter as a key to accelerating the operating turnaround. In the company’s prospectus filing, Potter says…
Since that time, we have implemented several key strategic initiatives designed to overcome challenges we faced at and after this going private transaction. These initiatives included a merchandising refocus on our core premium fresh food; introduction of new curated meal offerings; competitive prices on frequently shopped items such as bananas, avocados, milk, lemons and butter; improved in-store execution; and investments in omnichannel capabilities and technology
The company refined its strategy and turnaround with the help of Apollo Global and Potter. Moreover, The Fresh Market IPO could help the company repay its debt. As of October, the company has $922 million recorded long-term debt. So, let’s take a look at the finances…
The Fresh Market’s Financial Data
Detailed financial information is in The Fresh Market IPO prospectus, allowing you to gain more insight into the company’s finances. Furthermore, if you’re in the market for TFM stock, let’s look at the details.
The Fresh Market highlights some key information for investors. The company’s profit and loss statement and balance sheet data are as follows…
Sales: The Fresh Market has grown its total sales. For the 2019 fiscal year, The Fresh Market recorded $1.52 billion in sales. In 2020, sales grew to $1.89 billion. This represents 24% growth year-over-year. Moreover, for the 39 weeks ending in October 2021, The Fresh Market recorded $1.4 billion in sales compared to $1.35 billion for the same period in 2020.
Net Income (Loss): The Fresh Market has turned around its losses. In 2019, the company recorded $65.42 million in net losses. However, the company didn’t record any losses in 2020. Instead, The Fresh Market recorded $26.91 million in net income. The swift turnaround looks promising for The Fresh Market IPO.
Total Assets and Liabilities: The Fresh Market has $1.48 billion in total assets and $1.14 billion in total liabilities as of October 2021.
Cash: The Fresh Market’s cash flows recently dropped. The company recorded $206.38 million in cash as of January 2021. However, by October 2021, cash decreased to $185.25 million.
The Fresh Market’s recent numbers look promising. Moreover, The Fresh Market IPO could help lessen some of the company’s debt. In the filing, Potter said the offering “will allow us significant flexibility in funding our strategy, including allowing us to refinance a significant portion of our debt.” In addition, the company recently appointed a new CFO with IPO experience…
Company Hires CFO Ahead of The Fresh Market IPO
With Bartella on board, investors are preparing for The Fresh Market IPO to arrive. In January, The Fresh Market announced it appointed Adrian Bartella as Chief Financial Officer (CFO). Bartella has experience in taking companies public, and he’s joining The Fresh Market to make its public debut.
Prior to his current role, Bartella was the CFO of travel retailer Hudson Group for nine years. He helped guide the company to IPO in 2018. Hudson Group, which had an IPO of $750 million in February 2018, had Bartella oversee the SEC registration process as CFO. In addition, he led the roadshow marketing process with institutional investors, as well as working with equity research analysts and presenting on quarterly earnings calls.
In the hiring announcement, Potter said…
On behalf of the Board of Directors, I am very excited to welcome Adrian Bartella to The Fresh Market team. Adrian has an exceptional track record in retail and finance and is a proven executive with significant experience in helping companies navigate the public markets.
So, when will Bartella help lead The Fresh Market to its public debut? Here are the filing details…
The Fresh Market IPO: Filing Details
The Fresh Market confidentially filed with the Securities and Exchange Commission (SEC) in March 2021. The prospectus became public in July. However, the company is waiting for markets to stabilize before listing.
The prospectus didn’t disclose how many shares the company will sell. In addition, the company hasn’t disclosed its expected price range. However, the company will list on the Nasdaq exchange under the ticker TFM.
The Fresh Market listed a placeholder offering amount of $100 million. Renaissance Capital estimates that The Fresh Market could fetch as much as $250 million in its IPO.
Plans for The Fresh Market IPO are still in their infancy. However, stay tuned for the latest updates on TFM stock. You can learn more about the IPO process in this step-by-step guide to going public.
As always, make sure to do your research before you invest. IPOs can be volatile for the first few months and share prices are constantly changing.
Furthermore, if IPO investing interests you, check out our top recent IPOs and our IPO calendar. We update it daily to give you the latest news on upcoming and filed IPOs.