NEW YORK (TheStreet) -- U.S. Foods (USFD) - Get Report  shares are surging 7.13% to $24.64 on Thursday afternoon, the food distributor's first trading day on the New York Stock Exchange. 

The company yesterday announced the pricing of its IPO of 44.44 million shares at $23 per share for a total offering of $1.02 billion, making it the second-biggest IPO this year.

The offering of $23 per share was within the company's previously indicated $21 to $24 range. 

In addition, the deal marks a partial exit for private-equity firms Clayton Dubilier& Rice and KKR (KKR). This comes after they attempted to sell U.S. Foods to larger peer Sysco (SYY) for $8.2 billion, including debt. 

The plan fell apart last year due to opposition from government regulators who argued that combining the country's two biggest food distributors could harm schools, hospitals and other customers, according to the New York Times.

As of 1:50 p.m., more than 22.65 million shares had changed hands.