Online Thrift Shop ThredUp Plans IPO Early Next Year
Online Thrift Shop ThredUp Plans IPO Early Next Year
(Bloomberg) -- ThredUp Inc., an online marketplace for second hand clothing, is gearing up to go public, according to people with knowledge of the matter.
The San Francisco-based company has invited investment banks to pitch for a role in its initial public offering, said the people, who asked not to be identified because the information is private. The IPO, targeted for early next year, could raise $200 million to $300 million, one of the people said.
The company’s plans, including the timing, could still change, the people said. Goldman Sachs Group Inc., which is a backer of ThredUp, is advising it on its listing plans, one of the people said. Other banks could join the process later.
A representative for ThredUp couldn’t be immediately reached for comment. A spokesperson for Goldman Sachs declined to comment.
ThredUp raised $175 million last year from new and existing investors including Park West Asset Management and Irving Investors. ThredUp was valued in that round at $670 million, according to PitchBook.
In May the company announced a partnership with retailer Walmart Inc. to sell used women’s and children’s clothing on its website. ThredUp, like some other internet retailers, has fared relatively well in the coronavirus pandemic as sales have shifted online.
ThredUp’s higher-end rival, Poshmark Inc., delayed its listing to focus on boosting sales and improving its execution, Bloomberg News has reported. Shares of luxury reseller The RealReal Inc., which went public a year ago, are down 5.9% this year.
©2020 Bloomberg L.P.