GNC Files For IPO

PITTSBURGH--GNC Corp. (www.gnc.com) filed registration paperwork on May 28 with the Security and Exchange Commission for an initial public offering of as much as $345 million in common stock. In the application, the company said it planned to list its stock on the New York Stock Exchange under the symbol "GNC."

The proceeds from the IPO will be used to repurchase shares from GNC Investors, the company's principal stockholder. Apollo Management LP purchased GNC from Royal Numico in December 2003 for approximately $750 million. For its quarter ended March 31, GNC posted net revenues of $372.6 million, with net income of $16.2 million

In its prospectus, the company noted GNC's brand name is recognized by an estimated 84 percent of Americans as a source of health and wellness products. It also noted the continuation of several demographic and market forces that it expects to drive continued growth of the dietary supplement industry, including the aging population, increasing health care costs, a greater focus on fitness and the obesity epidemic.