Potbelly Sees IPO Price of $9 -$11 a Share

Sandwich chain Potbelly Corp expects its initial public offering to be priced at between $9 and $11 per share, raising as much as $82.5 million.

Potbelly, which operates 280 shops across the United States, will have a market valuation of $280 million at the mid-point of its expected price range.

The company is selling most of the 7.5 million shares in the IPO.

Maveron Equity Partners, American Securities Capital Partners LLC and Oak Investment Partners are among Potbelly's majority shareholders, according to the company's IPO filing. ()

The company had in August filed with the U.S. Securities and Exchange Commission to raise up to $75 million through its IPO.

Potbelly, which will list its shares on the Nasdaq under the symbol "PBPB", will use proceeds from the offering to pay a cash dividend of about $50 million and to repay debt.

BofA Merrill Lynch and Goldman Sachs are the lead underwriters to the offering. Robert Baird & Co, William Blair and Piper Jaffray are also among the underwriters.