Sandwich Chain Jersey Mike’s, Backers Raise $1 Billion in IPO

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(Bloomberg) — Jersey Mike’s Subs Inc. and some of its shareholders raised $1 billion in an initial public offering that priced at the midpoint of its marketed range.

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The Tinton Falls, New Jersey-based sandwich chain priced the shares at $23 each, according to a statement on Wednesday. The company offered 13.8 million shares, and backers including Blackstone Inc. and Abu Dhabi Investment Authority offered 29.7 million shares, for $21 to $25.

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At the IPO price, Jersey Mike’s has a market value of $7.3 billion based on the outstanding shares listed in the filings.

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The chain joins a surge in newly-listed companies on US exchanges, even though the market for food and beverage retailer IPOs has been relatively weak, with Black Rock Coffee Bar Inc. and Chinese tea chain Chagee Holdings Ltd. slumping in the months after their respective debuts last year.

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The Jersey Mike’s IPO was more than 10 times oversubscribed, Bloomberg News has reported. The offering was also being marketed to retail investors in the UK via Winterflood Securities Ltd., a division of Marex Group Ltd., according to a filing. 

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The S&P 1500 Restaurants Index has declined 0.5% this year, underperforming the S&P 500 Index’s 6.9% advance, as operators navigate through a difficult environment, with a pressured, value-seeking consumer, persistent cost inflation, and an elevated promotional environment.

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Still, sandwiches and other handheld meals are having a moment as diners prioritize convenience at an affordable price, shunning some bowl concepts they’ve come to perceive as overpriced. The chain’s US sales growth has outpaced that of large competitors such as Jimmy John’s, while Subway experienced a decline, according to data from restaurant research firm Technomic Inc. With its restaurant-booking sales of $4.2 billion in 2025, Jersey Mike’s is one of the country’s biggest chains.

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Jersey Mike’s has more than 3,300 locations in the US and Canada. It partnered with its founder and former Chief Executive Officer Peter Cancro to open approximately 300 stores in the UK and Ireland.

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It grew revenue to $724 million in 2025, up roughly 11% from $653 million the year prior, according to a previous filing. The franchise model helped to deliver adjusted earnings before interest, taxes, depreciation and amortization of $339 million last year compared with $263 million in the year before, the filing shows.

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Affiliates of Blackstone are set to hold 68% of the combined voting power after the IPO, the filings show. Jersey Mike’s was acquired by Blackstone last year for about $8 billion including debt. 

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Cancro founded Jersey Mike’s Subs in 1975 at age 17, when he purchased the first Mike’s Subs shop in Point Pleasant, New Jersey. He grew the company for nearly 50 years before transitioning to chairman in April, with Charlie Morrison, former chief executive officer of Wingstop Inc. and Salad and Go, taking the helm. 

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Morgan Stanley, Jefferies Financial Group Inc. and JPMorgan Chase & Co. led the offering. The shares are expected to trade Thursday on the New York Stock Exchange under the symbol JMKE. 

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