Deals

Albertsons Falters in Debut After $800 Million IPO Letdown

  • Shares lose 3.4% after downsized, below-target offering
  • Limited store openings could hit revenue growth: analyst
Albertsons Isn't Debt- or Capital-Constrained, CEO Says
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Albertsons Cos. emerged from 14 years of private ownership by Cerberus Capital Management with a whimper Friday, as its shares sagged after a shrunken initial public offering.

The stock opened in New York at $15.50 each having priced at $16, below the targeted price range of $18 to $20. Private equity firm Cerberus and other backers of the supermarket chain sold just 50 million shares to raise $800 million, having earlier offered 65.8 million shares to potential investors.