CHINO, Calif., April 19, 2021 (GLOBE NEWSWIRE) — Karat Packaging a specialty distributor and manufacturer of environmentally-friendly disposable foodservice products and related items, today announced the closing of its previously announced initial public offering of 3,950,000 shares of its common stock at a price to the public of $16.00 per share. Gross proceeds to the Company from the offering, before deducting underwriting discounts and commissions and other offering expenses, were approximately $63.2 million. The shares sold in the offering began trading on the Nasdaq Global Select Market under the symbol “KRT” on April 15, 2021.
Karat Packaging intends to use the net proceeds from the offering for the repayment of approximately $30 million of existing indebtedness, as well as other general corporate purposes, including possible facility expansions and acquisitions.
Stifel, William Blair and Truist Securities were lead bookrunning managers for the offering. National Securities Corporation and D.A. Davidson & Co. were co-managers. Akerman LLP served as legal counsel to Karat Packaging and McGuireWoods LLP served as legal counsel to the underwriters.
A registration statement relating to the securities sold in this offering has been filed with the Securities and Exchange Commission on Form S-1 and was declared effective by the SEC on April 15, 2021. This registration statement can be obtained by visiting EDGAR on the SEC website at www.sec.gov.
Copies of the prospectus relating to this offering may be obtained from: Stifel, Nicolaus & Company, Incorporated, One South Street, 15th Floor, Baltimore, MD 21202, Attention: Syndicate Department, Email: Syndprospectus@stifel.com; William Blair & Company, 150 North Riverside Plaza, Chicago, IL 60606, Attention: Prospectus Department, Phone: (800) 621-0687, Email: prospectus@williamblair.com; or Truist Securities, Inc., 3333 Peachtree Road NE, 9th floor, Atlanta, Georgia 30326, Attention: Prospectus Department, Email: TruistSecurities.prospectus@Truist.com.
About Karat Packaging
Karat Packaging is a specialty distributor and manufacturer of a wide range of environmentally friendly, disposable foodservice products and related items, primarily used by national and regional restaurants and in foodservice settings throughout the United States. Its products include food and take-out containers, bags, tableware, cups, lids, cutlery, straws, specialty beverage ingredients, equipment, gloves and other products. The Company’s eco-friendly Karat Earth® line offers quality, sustainably focused products that are made from renewable resources. Karat Packaging also offers customized solutions, including new product development and design, printing, and logistics services.
Investor Relations and Media Contact:
PondelWilkinson
Judy Lin Sfetcu or Roger Pondel
310-279-5980
karat@pondel.com