Pancake Chain to Offer Shares: IHOP Corp.,...

Pancake Chain to Offer Shares: IHOP Corp., the Glendale-based parent of International House of Pancakes, plans to raise up to $43 million by selling 3.1 million common shares for a proposed price of $12 to $14 each, according to a filing with the SEC. IHOP, which operates 490 restaurants, plans to use proceeds from the sale to repay debt and finance expansion. The company has registered another 3.1 million shares with the SEC, of which 2.4 million would be sold by affiliates of Kelso Management & Co., which led a 1987 leveraged buyout of IHOP. The sale would reduce Kelso’s stake to 7.5% of IHOP’s total shares from 54%. In addition, New York Life Insurance and Annuity Corp., which helped finance the buyout, plans to sell 610,000 shares, cutting its stake to 1.9% from 13.5%. The new shares would represent 70% of the company’s total stock outstanding after the offering.