Vitamin Shoppe Files for IPO

The parent of vitamin and supplement retailer Vitamin Shoppe Inc., VS Holdings Inc., plans an initial public offering of up to $150 million in common stock, according to a filing Wednesday with the Securities and Exchange Commission.

The company, which will be renamed Vitamin Shoppe Inc. at the time of the offering, has not determined the number of shares to be offered or an expected price range.

VS Holdings plans to use net proceeds from the offering with additional borrowings to redeem its Series A preferred stock and repurchase its senior secured floating rate notes. The company will also use proceeds to pay a management services agreement termination fee to a Bear Stearns & Co. subsidiary, which acquired the company in 2002.

Vitamin Shoppe is a specialty retailer and direct marketer of vitamins, minerals, herbs, supplements, sports nutrition and other health and wellness products. As of April 30, VS Holdings operated 317 stores in 31 states and Washington, D.C.

In fiscal year 2006, the company reported sales of $486 million.

Bear Stearns, Lehman Brothers and Banc of America Securities are serving as lead underwriters for the offering. Piper Jaffray, Wachovia Capital Markets and Cowen and Co. are also helping to sell shares to investors.
source:www.forbes.com/