Shares of PE-backed Aramark rise in debut

The Philadelphia-based company returned to the market for the third time, after being taken private first in 1984 and then in 2006.

The company was taken private in 2006 for $8.3 billion by Chairman Joseph Neubauer and private equity investors, including GS Capital Partners, JP Morgan Partners and Warburg Pincus.

Aramark raised $725 million after its initial public offering of 36.3 million shares was priced at $20 per share, the low end of its expected range.

Shares opened at $20.25 on Dec. 12 and touched a high of $20.69 on the New York Stock Exchange in early trade.

The company provides catering services and facilities management to the education, healthcare, sports and leisure industries and operates brands, such as WearGuard and Crest.

Goldman Sachs, JPMorgan, Credit Suisse and Morgan Stanley were the lead underwriters for the offering.

Private equity firms have been taking advantage of a strong IPO market this year to sell or list assets.

Neha Dimri is a reporter for Reuters News in Bangalore