By Tom Bemis
Personal care company co-founded by actress Jessica Alba going public with $1.45 billion valuation.
The company and early shareholders had sought to sell just under 26 million shares, raising $413 million at the offering price and giving it a valuation of $1.45 billion Bloomberg reported, citing people familiar with the matter.
The investors include private-equity firm L Catterton and the venture-capital firms Institutional Venture Partners, Lightspeed Venture Partners and General Catalyst.
The IPO share price had been estimated in a range of $14 to $17.
Honest reported a net loss of $14.5 million for the year, according to an SEC filing. That narrowed from $31 million in 2019. Revenue jumped 28% to $301 million in 2020 from $236 million in 2019.
The company plans to begin trading Wednesday on the Nasdaq Global Select Market with the ticker HNST.
Honest Co. launched in 2012. It’s led by Chief Executive Nick Vlahos, 53, who before joining Honest was executive vice president and chief operating officer for household, lifestyle and core global functions at Clorox. (CLX) – Get Report
As for Alba, 39, she is chairwoman and chief creative officer at Honest. She holds 5.65 million shares and doesn’t intend to sell any of them in the IPO. At the reported IPO price, her stake in the company would be worth just over $90 million.
“I suffered from chronic illnesses, severe asthma and allergies, leading to long, lonely weeks in the hospital,” she said in the filing.
“There were no lasting solutions for my health issues and by the time I was 10, I became aware of how wellness can define your whole life. That’s never left me.”