Dole shares closed down by 9% in market debut
By Shubhangi on Jul 31, 2021 | 02:31 AM IST
Shares of
Dole, which returned to public markets, closed down more than 9% on Friday. The
company is trading on New York Stock Exchange under the symbol “DOLE.”
The stock
opened at $15 per share which is below its initial public offering price of
$16. The market value of the company stands roughly at $1.5 billion.
In February,
Dole announced the merger with Total Produce to go public. The IPO for the new
company, which is the world’s largest fresh produce company, raised $400
million in gross proceeds.
The two
companies reported combined net sales of $8.97 billion last year which
generated net income attributable to shareholders of $80.1 million.
“The big advantage that we have is a huge diversity of
sourcing capability,” said Dole CEO Rory Byrne, reported CNBC.
Byrne also said that no impact is expected on the company
from the ongoing drought in California.
Dole, which was founded in 1851, owns more than 109,000
acres of land globally, as of March 31.
Previously, Dole has twice been publicly traded. In 2013, Billionaire
David Murdock took the company private for $1.3 billion and five years later, Total
Produce bought a 45% stake in Dole for $300 million.
(With
inputs from CNBC)
Picture
Credits: CNBC