Dunkin' could raise $400 million with IPO

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NEW YORK, July 12 (UPI) -- The U.S. parent company of Dunkin Donuts and Baskin-Robbins said Monday its initial public offering could raise $400 million.

Dunkin' Brand filed an amended S-1 form with the U.S. Securities and Exchange Commission seeking to sell more than 22 million shares. Shares are expected to go for $16 to $18.

The company would wind up with 126 million common shares and The Street said the paperwork crunches down to a market value of more than $2 billion.

Dunkin' Brands is seen as an attractive bet by some analysts due to its heavy cash flow and strong presence in the New York and New England areas. The company has a worldwide presence with locations in 57 countries.

The Street said the downside is a lag in revenues compared to its major competitor, Starbucks, and its franchise business model compared to Starbucks' outright ownership of its stores.