Dutch Bros filed the usual documents for its proposed IPO on August 20 with the intention of listing on the New York Stock Exchange under the symbol BROS and raising at least $ 100 million. However, the filing also contained a poignant letter to the investors of Travis Boersma, co-founder and chairman of the board.
“My brother Dane and I founded Dutch Bros. in 1992. We are third generation dairy farmers and the changes in the industry have made our prospects rather bleak. So we used that reality as motivation to branch out and try something new. Dane and I shared a desire to do something extraordinary together. We bought a double-head espresso machine, turned on the stereo, opened the barn doors and started experimenting with coffee beans, ”he wrote, explaining company statistics and historical lore. Then the letter became poignant.
“In 2004 my brother Dane was diagnosed with ALS, a progressive disease that affects nerve cells in the brain and spinal cord. Five years later, ALS would take Dane’s life. But it hasn’t diminished the incredible inspiration I get from my brother to continue and fulfill the dream we had in 1992. I have a personal mission statement that I share with everyone: I, Travis Boersma, see, hear, know and feel that the purpose of my life is to enjoy the journey, to maximize the moment, to be a loving, passionate, inspiring guide to be able to withstand all odds, to be a force for God and a force for good, and I hope to meet the man that one day when I die I am not the man I could have been. “
In its 30th year of operation, Dutch Bros has expanded from a handcart to more than 470 drive-thru coffee locations in 11 states and with more than 16,500 employees in corporate and franchise businesses. A turning point for the business came in 2008 when they decided to stop selling franchises to people outside of the existing Dutch Bros system and “decided to grow from within using the leadership that our franchisees created to have. This shift was a turning point for us, ”wrote Boersma.
For the first six months of this year, Dutch Bros reported net income of $ 5.8 million on sales of $ 228 million, compared to net income of $ 5.3 million and sales of $ 151 million. Dollars in the first half of 2020.
Dutch Bros sold a minority stake in TSG Consumer Partners in 2018 and planned to use the partnership to expand into new markets. TSG and Travis Boersma are among the largest shareholders in Dutch Bros. A filing date has not yet been set, led by BofA Securities, JP Morgan and Jefferies.
Boersma concluded his letter: “I am inspired by our co-workers, our mission and all the work we do in the churches – I hope you are too. Welcome aboard, buckle up – we’re on a rocket ship and I wouldn’t want it any other way. I hope you enjoy this experience as much as I do. “