Dave & Buster’s Entertainment Inc. (NASDAQ: PLAY) has filed with the U.S. Securities and Exchange Commission (SEC) for a secondary offering. The offering is for 6 million shares with an overallotment option for an additional 900,000 shares. At Friday’s closing price of $41.85, the total offering is valued up to $288.76 million.
The underwriters for the offering are Jefferies, Piper Jaffray, William Blair, Raymond James, Stifel and BMO Capital Markets.
This is a leading owner and operator of high-volume venues in North America that combine dining and entertainment for both adults and families. The core concept of the business is to offer customers the opportunity to “Eat Drink Play and Watch” all in one location. Eat and drink are offered through a full menu of “Fun American New Gourmet” entrées and appetizers and a full selection of non-alcoholic and alcoholic beverages. The play and watch offerings provide an extensive assortment of entertainment attractions centered around playing games and watching live sports and other televised events.
In the filing, the company detailed its financial position:
As of September 15, 2015, we owned and operated 77 stores in 30 states and Canada. For the fiscal year ended February 1, 2015, we generated total revenues of $746.8 million, Adjusted EBITDA of $165.1 million (representing an Adjusted EBITDA margin of 22.1%) and net income of $7.6 million. For the twenty-six weeks ended August 2, 2015 and August 3, 2014, we generated total revenues of $440.0 million and $376.2 million, respectively, Adjusted EBITDA of $114.6 million and $89.1 million, respectively, and net income of $32.1 million and net loss of $2.4 million, respectively. For fiscal 2013 and fiscal 2012, we generated total revenues of $635.6 million and $608.1 million, respectively, Adjusted EBITDA of $134.8 million and $120.5 million, respectively, and net income of $2.2 million and $8.8 million, respectively. From fiscal 2012 to fiscal 2014, total revenues and Adjusted EBITDA grew at a compound annual growth rate (CAGR) of 10.8% and 17.1%, respectively. We generated comparable store sales increases of 10.4%, 7.3%, 1.0% and 3.0% in the twenty-six weeks ended August 2, 2015 and in fiscal 2014, 2013 and 2012, respectively.
Shares of Dave & Buster’s were up 1.7% at $42.57 early Monday, in a 52-week trading range of $15.89 to $43.35. The stock has a consensus analyst price target of $49.00.
ALSO READ: 9 Analyst Stock Picks Under $10 With Huge Upside Calls
The Average American Has No Idea How Much Money You Can Make Today (Sponsor)
The last few years made people forget how much banks and CD’s can pay. Meanwhile, interest rates have spiked and many can afford to pay you much more, but most are keeping yields low and hoping you won’t notice.
But there is good news. To win qualified customers, some accounts are paying almost 10x the national average! That’s an incredible way to keep your money safe and earn more at the same time. Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 3.80% with a Checking & Savings Account today Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.
Click here to see how much more you could be earning on your savings today. It takes just a few minutes to open an account to make your money work for you.
Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 4.00% with a Checking & Savings Account from Sofi. Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.