Feb 4 (Reuters) – Bob’s Discount Furniture has raised $330.7 million in its U.S. initial public offering, the Bain Capital-backed firm said on Wednesday, setting the stage for a market debut that could test investor appetite for consumer-focused companies.
Bob’s sold about 19.5 million shares at $17 apiece, within its marketed range of $17 to $19 per share. The IPO valued the company at about $2.22 billion.
First-time share sales are expected to build on last year’s momentum, as soaring equity markets and a resilient U.S. economy encourage more companies to go public.
Private equity sponsors such as Bain are also sitting on a record backlog of companies waiting to tap the public markets after a years-long listing lull forced them to stay private for longer.
Bob’s journey began in 1991 as a small store in Connecticut and it has grown into one of the biggest U.S. furniture chains, with over 200 showrooms nationwide.
It offers a wide range of home furnishings, including bedroom and dining-room sets, reclining furniture and table lamps.
The company has been under private equity ownership for the past two decades, with Bain purchasing Bob’s in 2014 from buyout firms KarpReilly and Apax Partners.
J.P.Morgan and Morgan Stanley are joint-lead book-running managers. The company will list on the NYSE under the symbol “BOBS”.
(Reporting by Ateev Bhandari in Bengaluru and Fabiola Arámburo in Mexico City; Editing by Pooja Desai and Rashmi Aich)
Comments