A Chobani IPO: Is Now the Right Time?

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By Trey Thoelcke Published
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Chobani, the top seller of Greek yogurt in the United States, reportedly is exploring its options to raise capital, perhaps by taking the company public or by selling a stake to a private investor. But is this the best time to consider an IPO, when some signs suggest that the IPO market may be cooling off?

Chobani essentially sparked the Greek yogurt craze in the United States a few years ago, but it hasn’t really strayed much from its core offering of fruit-infused yogurt in single-serving cups. That is about to change, however. As early as this summer, the company plans to branch out into pudding-like desserts, as well as yogurt dips in flavors such as hummus, guacamole and tzatziki.

The company, which is closely held by its founder, also recently began to export its products to Panama, Singapore and Malaysia, with other Asian and Central American markets expected to follow.

The company saw revenue rise 32% in the past year, and it says it can beat that growth rate this year with some $1.5 billion in sales. It holds the lion’s share of the Greek yogurt market, at about 38%. The company has been valued at around $5 billion.

Private equity firm TPG is said to be the leading contender among those looking to acquire a stake of up to 15% in the company.

Chinese social media platform Weibo Corp. (NASDAQ: WB), one of the most anticipated IPOs of this past week, lowered expectations by setting the price at the bottom of the expected range and reducing the number of shares offered. Other IPOs during the week, such as those of City Office REIT Inc. (NYSE: CIO), Moelis & Co. (NYSE: MC), Opus Bank (NASDAQ: OPB) and Paycom Software Inc. (NYSE: PAYC) also got off to shaky starts.

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About the Author Trey Thoelcke →

Trey has been an editor and author at 24/7 Wall St. for more than a decade, where he has published thousands of articles analyzing corporate earnings, dividend stocks, short interest, insider buying, private equity, and market trends. His comprehensive coverage spans the full spectrum of financial markets, from blue-chip stalwarts to emerging growth companies.

Beyond 24/7 Wall St., Trey has created and edited financial content for Benzinga and AOL's BloggingStocks, contributing additional hundreds of articles to the investment community. He previously oversaw the 24/7 Climate Insights site, managing editorial operations and content strategy, and currently oversees and creates content for My Investing News.

Trey's editorial expertise extends across multiple publishing environments. He served as production editor at Dearborn Financial Publishing and development editor at Kaplan, where he helped shape financial education materials. Earlier in his career, he worked as a writer-producer at SVE. His freelance editing portfolio includes work for prestigious clients such as Sage Publications, Rand McNally, the Institute for Supply Management, the American Library Association, Eggplant Literary Productions, and Spiegel.

Outside of financial journalism, Trey writes fiction and has been an active member of the writing community for years, overseeing a long-running critique group and moderating workshop sessions at regional conventions. He lives with his family in an old house in the Midwest.

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