US retailer Burlington Stores has said it expects to raise US$205m from an initial public offering (IPO) of 13.3m shares of its common stock at $17.00 per share.

The operator of the Burlington Coat Factory off-price clothing stores said it intends to use the proceeds, along with cash on hand, to "primarily redeem outstanding indebtedness". The offering, which the company filed a registration statement for in July, is expected to close on 7 October.

Earlier this month, the company reported a narrower second-quarter loss, helped by sales growth and higher margins. Its loss narrowed to $19.5m from $31.3m during the three-month period, while sales grew 11.5% to $963.7m from $864.2m last year. 

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Burlington Stores, Inc. Announces Pricing of Initial Public Offering

October 01, 2013 07:37 PM Eastern Daylight Time 

BURLINGTON, N.J.--(EON: Enhanced Online News)--Burlington Stores, Inc. (the "Company") announced today the pricing of its underwritten initial public offering of 13,333,333 shares of its common stock at a price to the public of $17.00 per share. In connection with the offering, the Company has granted the underwriters a 30-day option to purchase up to an additional 2,000,000 shares. The shares will be listed on the New York Stock Exchange beginning on October 2, 2013 and will trade under the symbol "BURL." The offering is expected to close on October 7, 2013.

The Company expects to receive proceeds, net of underwriters' discounts and commissions and estimated offering expenses payable by the Company, of approximately $205.0 million from the offering and intends to use the net proceeds, along with cash on hand, to primarily redeem outstanding indebtedness.

J.P. Morgan, Morgan Stanley, BofA Merrill Lynch, Goldman, Sachs & Co., and Wells Fargo Securities are acting as joint book-running managers for the offering. BMO Capital Markets, Cowen and Company, Guggenheim Securities, SunTrust Robinson Humphrey, Telsey Advisory Group and Ramirez & Co., Inc. are serving as co-managers for the offering. Copies of the prospectus relating to this offering may be obtained from: J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717 or by telephone at (866) 803-9204, Morgan Stanley & Co. LLC, 180 Varick Street, 2nd Floor, New York, New York 10014, Attn: Prospectus Department, by phone at (866) 718-1649 or by emailing prospectus@morganstanley.com or BofA Merrill Lynch, 222 Broadway, New York, New York 10038, Attention: Prospectus Department or by emailing dg.prospectus_requests@baml.com.

The registration statement on Form S-1 relating to the securities has been declared effective by the Securities and Exchange Commission. This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Burlington Stores, Inc.

The Company, through its wholly-owned subsidiaries, operates a national chain of off-price retail stores offering ladies', men's and children's apparel and accessories, home goods, baby products and coats, principally under the name Burlington Coat Factory.

Original source: Burlington Stores, Inc