CHICAGO (AP) -- Potbelly has raised $105 million from its initial public offering of 7.5 million shares.
The restaurant operator, which sells sandwiches, salads and milk shakes, priced the offering at $14 per share, above the projected range of $12 to $13 each.
Potbelly Corp. is selling about 7.3 million shares, while certain stockholders are selling 150,131 shares. The Chicago company won't receive any proceeds from the shares sold by the selling stockholders.
Potbelly is giving the underwriters a 30-day option to buy up to an additional 1.1 million shares.
The company said in a regulatory filing that it plans to use net proceeds to pay a previously declared dividend, to repay borrowings under a credit facility, and for working capital and general corporate purposes.
Potbelly began in 1977 as a small antique store in Chicago. The original owner started offering sandwiches and homemade desserts to customers in an effort to boost sales. It had 288 shops in 18 states and the District of Columbia as of Sept. 23. Its franchisees have seven shops in the U.S. and 12 in the Middle East.
In 2012, Potbelly reported net income available to common stockholders of $13.6 million on revenue of $274.9 million.
The shares are expected to start trading on the Nasdaq Global Select Market on Friday under the "PBPB" ticker symbol.
The offering is targeted to close on Wednesday.
