Dunkin’ Brands Group Inc. fell the most in New York since its stock began trading in July after saying some of its stockholders plan to sell 22 million additional shares.
Dunkin’ dropped 6.1 percent to $27.34 at 10:35 a.m. and earlier declined as much as 8.6 percent. Before today, the shares had gained 53 percent from their $19 offering price.
Dunkin’ said today that certain shareholders plan to sell 22 million additional shares and that underwriters have an option to buy 3.3 million more shares from some of the investors. The Canton, Massachusetts-based restaurant chain raised $486 million in an initial public offering in July after its underwriters exercised an option to buy more shares.
Third-quarter profit excluding certain items rose 32 percent to $31.3 million, or 28 cents a share, from $23.7 million, or 24 cents, a year earlier, Dunkin’ said in a statement today. Analysts expected 26 cents, the average of 11 estimates compiled by Bloomberg.
Revenue climbed 9.3 percent to $163.5 million in the quarter ended Sept. 24 as U.S. store sales increased, the company said.
The company, led by Chief Executive Officer Nigel Travis, has said it plans to more than double its U.S. store count to 15,000 locations in the next 20 years.
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