DALLAS (AP) — Dean Foods Co.'s subsidiary WhiteWave plans to raise up to $368 million in its initial public offering.
The company, which sells Silk Soymilk and International Delight Creamers, will offer 20 million shares for between $14 and $16 per share, according to a filing with the U.S. Securities and Exchange Commission on Wednesday. It also has granted underwriters the option to buy up to 3 million additional shares.
Dean Foods said in August that it planned to take WhiteWave Foods Co. public. Dean will own at least 80 percent of the company following the spinoff. It plans to use the proceeds from the sale of the remaining shares to pay down existing debt.
The dairy company also said Wednesday that WhiteWave saw strong sales across its product lines during the three months ended Sept. 30. As a result, Dean expects the segment's total sales increased 13 percent to $598 million for the period, from $531 million in the same quarter last year. It expects the unit will report operating income of $64 million for the period ended Sept. 30, up 22 percent from $53 million last year.
Among Whitewave's other product lines are Horizon organic milks, Land O Lakes beverages and Alpro and Provamel brands of plant-based milks, yogurts and other products in Europe.
Dean Foods is scheduled to report its full third-quarter results on Nov. 8.
Shares of Dean Foods soared $2.01, more than 13 percent, to $17.05 in afternoon trading, and earlier peaked at $17.25, just a shade off their 52-week high of $17.50, reached in August.