The gift card provider, Blackhawk Network Holdings Inc, is owned by Safeway Inc recently announced it has raised US$230 million in its inital public offering. The shares in the IPO were priced above the marketed range.
In its report, the gift card seller sold nearly ten million shares priced at US$23 per share. The inital offered price was between US$20 and US$22 per share. Blackhawk was listed at the Nasdaq Stock Market under HAWK and had commenced trading on the floor today.
At the marketed price, the market value of Blackhawk would be at US$1.2 billion. Safeway, the owner of Blackhawk, had said it had been planning to sell a minority share in the provider. The goods sold by Blackhawk include prepaid cards for restaurants, retail and grocery chain stores in stores located in the US and eighteen other nations.
According to regulatory filings, the company sold off a 19% stake during the IPO. One of the terms of the IPO includes Safeway's right to prevent Blackhawk from selling additionals shares to maintain the parent company's 80% shareholdings to allow for a tax free spin off.
Join the Conversation