KPMG has resigned its position as auditor of sandwich and coffee chain Pret A Manger, amid rumours it is gearing up for an initial public offering (IPO) on the New York Stock Exchange
Should the IPO take place, the Big Four firm would not be allowed to undertake both audit and non-audit work under US Securities and Exchange Commission (SEC) rules.
In May, it was reported private equity firm Bridgepoint Advisers, which owns Pret, instructed several banks to advise on a possible IPO later in 2017.
KPMG said in a statement: ‘Our relationship with Pret remains strong and we have been delighted to provide audit services to the company for more than a decade. We will work closely with Pret to support the transition of the audit to EY.’
EY said it was unable to comment.
