010549 Smith & Wollensky Narrows IPO Price RangeMay 20, 2001Washington - Smith & Wollensky Restaurant Group Inc., the upscale restaurant owner and operator, narrowed the estimated price range of its planned initial public offering to $8-$10 per share from $7.50- $10.50 each. The New York City-based company also increased the size of the offering to 5.03 million shares from 4.95 million shares but still expects to sell 4.5 million shares while various stockholders are selling the rest. The new terms, the second revision since it filed an IPO prospectus with the SEC in March, could raise up to $45 million in proceeds, down about 5% from the previous expected amount of $47.3 million. Famous for its large steaks, Smith & Wollensky currently operates 14 restaurants, nine of which it owns and five of which it manages. The IPO is expected to debut next week. It plans to use the net proceeds from the sale to develop new restaurants, repay debt, provide working capital, and for other general corporate purposes. It will not get any of the money from the shares sold by the stockowners. Smith & Wollensky will have more than 9 million common shares outstanding when the IPO is completed, giving it a potential market value of $90 million, based on the high end of the price range.
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