Key facts
- Jersey Mike's is preparing for a large initial public offering.
- The expected proceeds from the IPO are $1.09 billion.
- This offering would be the second-largest U.S.-listed restaurant IPO.
- The company currently operates approximately 3,300 locations.
- Jersey Mike's is expected to go public with a valuation more than double that of Dutch Bros. Coffee's 2021 IPO.
Jersey Mike's, a sandwich chain that has grown significantly since the early 2010s, is now preparing for a historically large initial public offering. The company, which has approximately 3,300 locations and generates over $4 billion in annual sales, is expected to raise $1.09 billion through its IPO. This figure would make it the second-largest U.S.-listed restaurant IPO ever, surpassed only by Arcos Dorados Holdings.
Unlike many other major sandwich chains such as Subway, Jimmy John's, and Firehouse, which have remained private or been sold to strategic buyers, Jersey Mike's is pursuing a public listing. This move comes relatively late in its lifecycle compared to recent restaurant IPOs like Chipotle, Wingstop, and Shake Shack, which went public with fewer locations.
The company's current maturity and scale are partly attributed to ownership by Blackstone, which provided capital for expansion prior to the IPO. Jersey Mike's is anticipated to debut on the stock market with a valuation more than double that of Dutch Bros. Coffee's 2021 IPO, indicating it is being valued as an established company rather than an emerging growth business.