Buyout bosses have IPO fever, and last week’s frenzied news cycle confirmed it. Today the Financial Times jumped on the exit-story bandwagon with its own version of the KKR/Dollar General story. On that note, we’d like to add two more potential IPO candidates to our list of 15 from last week.
16. Dollarama (Bain Capital)
I don’t know how I overlooked this one, but this Canadian discount retailer must be performing on par with Dollar General. Bain Capital took over the company in 2004, when the firm purchased an 80% stake for $850 million. The company just reported its first quarter earnings for fiscal 2010 and they’re looking strong: “For the 13-week period ended May 3, 2009, Dollarama Group L.P. recorded sales of $273.4 million, a 15.5% increase from $236.8 million the prior year. Comparable store sales rose 7.5% over the same quarter last year, lifted in part by 4.0% increase in average transaction size, as well as a 3.5% increase in store traffic.”
17. First Data (KKR)
First Data made it to the FT’s IPO list, even though the company has been written down by 40% since it’s take-private in September 2007. Additionally, it’s levered a mere 9.3x. Despite that, the business saw sales growth of 9% and Ebitda growth of 5% last year. (Notably, Avago, the one KKR company that has actually filed an S-1 to go public, has the lowered leverage of KKR’s top ten portfolio companies with 1.5x leverage, according to the firm.)
Bonus Company: Zipcar. It’s backed by venture capital firms Greylock Partners, Benchmark Capital and Revolution LLC. You may remember the Zipcar IPO blog feud from earlier this year, in which Bloomberg and The Deal argued over whether the company, which is planning for around $120 million in sales this year, was planning to go public. The company hasn’t talked to bankers about a potential float yet but the company is a “contender” given its growth, Bloomberg reported. The service didn’t report exact revenue or profit growth figures.