Krispy Kreme CEO celebrates second IPO launch: ‘We’re in this for the long journey’
The doughnut chain opened for trading at $16.30 apiece, valuing the company at $2.62 billion
Donut giant Krispy Kreme launched its second IPO on the Nasdaq Thursday since delisting in 2016, successfully closing up by more than 23%.
Krispy Kreme CEO Mike Tattersfield vowed on "The Claman Countdown" that this second time going public will be one to count on, after five years of rebranding and remodeling while continuing to focus on fresh donut production.
"That focus, over the past five years, we've doubled the revenue doubled," he said. "So when you think about when we have that discussion with our investor base and they see the growth there and they see how this Omnichannel model is working, we're in this for the long journey, the journey that we've done over the past five years."
KRISPY KREME SHARES SLIP IN OPENING TRADE, REVERSE HIGHER
"We bought the company at a billion dollars. And as you roll up today, it's three times value," he continued. "So you can see the growth there. And we're really into the journey. And it's a really high-quality investor base that's with us. And they see the potential in the US as well as the globe."
Amid the destructive coronavirus pandemic, Krispy Kreme managed to hit record revenue numbers. Tattersfield explained that the business also managed to raise the rate at which their customers visit by 20% through specializing donuts for holidays and important events.
"When you drive the innovation around the dozens, around occasions, whether it's Fourth of July, whether it's Mother's Day," he said. "We also start building the gifting business. And in case you didn't know, about a third of our dozens business is actually gifted. So our customers are used to that. That shift to occasions really works."
Shares of the Winston-Salem, North Carolina-based doughnut chain opened for trading at $16.30 apiece, valuing the company at $2.62 billion.
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FOX Business' Jonathan Garber contributed to this report