Charlotte, North Carolina — Driven Brands, the parent company of CARSTAR, Maaco and Fix Auto USA last week reported it had sold 31,818,182 shares at the offering price of US$22, netting an estimated US$661.5 million.
On Jan. 21, Driven Brands said it used the proceeds from selling the 31.8 million shares to the public and its cash on hand to pay off US$722 million in debt incurred in the August 2020 purchase of International Car Wash Group.
According to Driven Brands’ December prospectus, the company expected to have nearly US$1.46 billion in debt after the US$722 million was retired.
Driven Brands began public trading on Jan.15, trading under the ticker symbol ‘DRVN’. On Jan. 15, the stock opened at US$28 and closed at US$26.69. The stock price has yet to dip below US$22, and has reached a high of US$32.95.
Following the sale, the company has 164.7 million shares outstanding, the filing says. Roark Capital Group of Atlanta, U.S., the private equity group that bought Driven in 2015, holds about 70 percent of the shares.
According to NASDAQ, estimated that altogether, these shares left Driven Brands with a market capitalization of nearly US$4.78 billion.
As of noon Friday, shares of Driven Brands were selling at US$27.32 after closing at US$27.95 Thursday.