NEW YORK -- Shares of Pinnacle Foods, the maker of Birds Eye frozen foods, Duncan Hines frosting and cake mixes and Vlasic pickles, are rising in their first day of trading as a public company.
Shares are up about 13 percent to $22.58 Thursday morning after being priced at $20 per share, the high end of their expected range of $18 to $20 per share. The pricing had suggested healthy demand from investors.
The shares opened at $22.26 and peaked at $22.88 in the early going.
Pinnacle Foods raised $580 million in an initial public offering of 29 million shares.
The Parsippany, N.J., company plans to use proceeds to lower its debt but will still carry about $2.1 billion in debt.
The banks managing the deal may buy another 4.4 million shares to sell, increasing the proceeds for Pinnacle Foods.
Pinnacle Foods, which says its products can be found in 85 percent of all U.S. households, reported revenue of $2.48 billion in 2012 and net income of about $52.6 million. Between 2008 and 2012, the company reported sales growth of 59 percent.
Private equity firm Blackstone Group LP bought Pinnacle Foods in 2007, and still owns about 70 percent of the company after the IPO.
Shares are trading on the New York Stock Exchange under the "PF" ticker symbol.