Several early investors stand to lose money after the mattress company lowered expectations around its IPO.
on Wednesday that it would slash its IPO price range to between $12 and $13, amid investor concerns about the company’s profitability.
If Casper prices in the middle of that new IPO price range, that would value the company at less than $500 million.The proposed IPO price puts the company well below theA host of early investors in the company—at least two dozen of them, including Target, could“pioneer of the sleep economy,” which it estimates to be worth $432 billion globally and $80 billion in the U.S., Casper’s filings reveal that the mattress-in-a-box company has yet to turn a profit—and likely won’t do so anytime soon.
Earlier this week, New York University business professor Aswath Damodaran criticized the initially proposed IPO price range of $17 to $19, describing that for the company’s business model. He instead estimated the per-share value at a 24% discount to the low end of that price range, pegging it at around $13.The direct-to-consumer mattress company, which sells its products in seven countries, recorded net losses of $73.4 million in 2017, $92.1 million in 2018 and $67.4 million in the first nine months of 2019.
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Casper Sleep slashes the price range for its planned IPO - Business InsiderIt's a fraction of the $1.1 billion valuation private markets gave Casper in its last funding round.
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Casper cuts expected IPO price range to $12-$13 a share from $17-$19 a shareCasper Sleep disclosed in a government filing that it would cut its initial public offering price to a range between $12 and $13 per share.
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Casper Sleep lowers IPO price range, implying valuation of just over $500 millionCasper Sleep Inc. lowered the price range for its planned initial public offering on Wednesday to $12 to $13 a share from a previous $17 to $19, a move that...
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Casper Sleep lowers IPO price range, implying valuation of just over $500 millionCasper Sleep Inc. lowered the price range for its planned initial public offering on Wednesday to $12 to $13 a share from a previous $17 to $19, a move that...
Read more »
Casper Sleep slashes the price range for its planned IPO - Business InsiderIt's a fraction of the $1.1 billion valuation private markets gave Casper in its last funding round.
Read more »
Casper cuts expected IPO price range to $12-$13 a share from $17-$19 a shareCasper Sleep disclosed in a government filing that it would cut its initial public offering price to a range between $12 and $13 per share.
Read more »