Oura puts $2.2 billion IPO on hold as US listing market turns uncertain
Smart-ring maker had strong investor demand but chose to postpone its Nasdaq debut
Health and fitness ring-maker Oura Inc. will delay its planned initial public offering on Nasdaq due to uncertainty in the market for first time offerings.
Oura Inc. has postponed its planned US initial public offering, putting on hold what was expected to be one of the year's biggest new listings amid uncertainty in the IPO market.
The wearable technology company and its shareholders had been seeking to raise as much as $2.2 billion through the Nasdaq listing. The offering had attracted strong investor interest, with orders reportedly reaching about four times the number of shares available, according to Bloomberg.
“We aim to deliver an extraordinary IPO for our employees and investors and we have the luxury of choosing our moment,” Oura Chief Executive Officer Tom Hale said in a statement.
Oura and its selling shareholders had planned to offer 50 million shares at $40 to $44 each, according to filings with the US Securities and Exchange Commission.
The company was set to sell 13.5 million shares, while existing investors including Forerunner Ventures and Lifeline Ventures planned to sell 36.5 million shares.
Goldman Sachs Group, Morgan Stanley, JPMorgan Chase, Allen & Co. and Jefferies Financial Group were listed as the lead banks on the offering.
At the top of the proposed price range, Oura would have had a market capitalisation of about $14.1 billion, based on the outstanding shares listed in its filings. Including stock options and restricted share units, its fully diluted valuation would have been about $15 billion.
The postponement comes against a difficult backdrop for the US IPO market. Holtec Nuclear Corp. and CVC Capital Partners-backed Bamboo Insurance Services Inc. have also postponed planned listings, citing market conditions, Bloomberg News has reported.
Oura's planned listing had been closely watched as a potential $1 billion-plus IPO, coming after a relatively quiet September for new listings. Jersey Mike's Subs Inc., which debuted in July, was the most recent deal of that size, according to Bloomberg data.
Oura had been expected to trade on the Nasdaq Global Select Market under the ticker OURA. The company has not given a new date for the offering.
