The Plano-based chain has recently announced its return to the public after it filing the form with the SEC according to a Capitol.com article from November 23 which reports,
“Fogo Hospitality Inc filed its S1 form with the SEC last week, becoming the latest projected restaurant IPO in a series that has included a wide range of offerings from the donuts of Krispy Kreme to salads from Sweetgreen.
The stock will trade on the NYSE under the ticker FOGO, a nod to the company’s principal entity, Brazilian churrascaria Fogo de Chão. It serves an ample selection of meats as well as poultry, fish and sides served rodizio style, Brazil’s take on the buffet or smorgasbord. It had previously been traded publicly, but reverted to private ownership in 2018 following its acquisition by Rhone Group LLC.”
The reason for its return to the public started with the COVID-19 pandemic where it went down and up but ultimately came out strong with its resilience and innovation from its leaders according to a Dallas Morning News article from November 19. In it they say,
“Founded in 1979, the chain went into the COVID-19 pandemic riding a six-year streak of year-over-year traffic gains. Its restaurants averaged 129,000 customers each in 2019 and the company said its experiential dining experience is particularly popular with millennial and Generation X diners who make up 79% of its customers.
But like the rest of the hospitality sector, the pandemic forced store closures last year in several waves of the virus and Fogo de Chão’s revenue plunged from $350 million in fiscal 2019 to $205 million last year.
Through 39 weeks of this fiscal year, the company’s sales “improved markedly” to $296 million — a 114% spike over the same partial year period in fiscal 2020 and an 18% increase over 2019, according to the filing.
Fogo de Chão’s filing details the actions company leaders took to ride out the pandemic. They launched a technology-based takeout platform, expanded catering, added outdoor dining to mitigate indoor restrictions, launched an all-day happy hour and renegotiated leases, saving $1.2 million.”
The IPO value of $100 million which was unorthodox to use without having the number of shares being offered, was shown in the filing list.