(Bloomberg) — Food company Sovos Brands Inc. and online jewelry seller Brilliant Earth Group Inc. fell short of their goals in initial public offerings while others in a run of consumer-oriented listings fared better.
Most Read from Bloomberg
Sovos, which owns brands such as Rao’s Homemade pasta sauces and Birch Benders pancake mix, said in a statement that it sold 23 million shares Wednesday for $12 each — below its $14 to $16 range — to raise about $280 million.
Brilliant Earth raised less than half of what it was seeking, selling 8.3 million shares for $12 each after marketing 16.7 million for $14 to $16, according to a statement. Instead of raising the hoped-for $267 million, the company’s listing fell $4 short of $100 million based on the precise share count in the statement.
The IPOs were two of six Wednesday in which companies involved in the sector were seeking to raise more than $2 billion on U.S. exchanges. Those going public include software companies providing the infrastructure for retail transactions, a key focal point as businesses of all sorts continue to digitize operations as the coronavirus pandemic lingers on.
Sovos, based in Louisville, Colorado, is set to begin trading Thursday on the Nasdaq under the symbol SOVO. Brilliant Earth’s shares, under the symbol BRLT, are also set to trade on the Nasdaq.
Money transfers and personal wellness are among the other consumer products and services featured in Wednesday’s listings. The other companies that have priced share sales or are set to do so include:
-
Personal care products maker KDC/ONE Development Corp. is seeking to raise $857 million, selling 57 million shares for $13 to $15 apiece. The Quebec-based company’s shares are set to list on the New York Stock Exchange under the symbol KDC.
-
Seattle-based Remitly Global Inc., an online money transfer platform, raised $523 million with a sale of 12 million shares for $43 each after marketing them for $38 to $42, according to data compiled by Bloomberg. It plans to trade on the Nasdaq under the symbol RELY.
-
Boston-based EngageSmart LLC brought in $380 million with 14.6 million shares sold for a dollar above its $23 to $25 range, according to a statement. The customer engagement software maker is listing on the New York Stock Exchange under the symbol ESMT.
-
Thorne HealthTech Inc., a New York-based provider of wellness products and services, sold 7 million shares at the bottom of its $10 to $11 range to raise $70 million, according to data compiled by Bloomberg. The company had earlier targeted as much as $135 million. Its shares will trade on the Nasdaq under the symbol THRN.
The listings come amid a seasonal boom in what was already a record year for IPOs on U.S. exchanges. Since Jan. 1, more than 790 companies including special purpose acquisition companies, or SPACS, had raised a combined total of over $252 billion before Wednesday, according to data combined by Bloomberg. That compares with $180 billion in all of last year, which itself eclipsed earlier records, the data show.
Consumer and software companies have scored many of the year’s highest-profile listings. That includes software maker Freshworks Inc. and restaurant payments firm Toast Inc., which rose 32% and 56% respectively in their trading debuts Wednesday after pricing their IPOs above marketed ranges.
Last week, On Holding AG, the running shoemaker backed by Roger Federer, jumped 46% in its debut. Coffee chain Dutch Bros Inc. got a 59% jolt in its trading debut.
There are more such listings ready to come off the shelf. Authentic Brands Group Inc., now the owner of Reebok and Brooks Brothers, and shoe brand Allbirds Inc. are both lined up to go public.
Olaplex Holdings Inc., the high-end hair product brand, is seeking more than $1 billion in an IPO set for next week. Warby Parker Inc., the seller of direct-to-consumer eyewear, is set to debut through a direct listing by end of the month.
Sterling Check Corp., which provides technology background and identity verification services for employers, was the one of three companies pricing U.S. IPOs Wednesday with less of a role in the consumer sector. It sold 14.3 million shares for a dollar above its $20 to $22 range to raise $329 million, according to a statement.
Argus Capital Corp., one of two SPACs with IPOs on Wednesday, upsized its offering to raise $265 million.
Most Read from Bloomberg Businessweek
©2021 Bloomberg L.P.
