McDonalds in Japan goes for high price IPO
initial public offering (IPO) price on Monday at the top end of
expectations.
Defying uncertainty over whether low-priced hamburgers can defeat sushi, the Japanese unit of US fast-food giant McDonald's Corp set its initial public offering (IPO) price on Monday at the top end of expectations. McDonald's Co (Japan) Ltd is scheduled to list on JASDAQ, formerly known as the over-the-counter market, on July 26, becoming the first foreign unit of the US parent to go public and one of the biggest issues in Japan this year. The unit, the largest of all Japanese restaurant or hamburger chains, said its IPO price was set at 4,300 yen ($34.44) a share, which would raise 51.6 billion yen ($413 million). The price came at the top end of its tentative price range of 3,000 yen to 4,300 yen, reflecting brisk buying interest from retail investors, who were lured to the IPO due to its brand name and the affordable size per trading unit.
