Oleksandra Naumenko / Dreamstime
Winc set the terms for its IPO and became the newest wine company to enter the public stock markets.
Winc said Wednesday that it plans to sell five million shares at $ 14-16 each. The Santa Monica, California company is listed on the New York Stock Exchange under the ticker WBEV. BofA Securities and Canaccord Genuity are lead managers in the transaction.
At $ 16, Winc’s valuation could reach $ 263 million.
Winc’s IPO has been about seven months since luxury wine maker Duckhorn Portfolio (ticker: NAPA) went public in March for $ 15 per share.
Winc was founded in 2011 and produces and sells wine. The winery sold over 430,000 cases of wine in 2020, fueled by the Covid-19 pandemic that resulted in people staying at home and restaurants closing. The brands include Summer Water, Lost Poet, Wonderful Wine Co., Chop Shop and Folly of the Beast, according to the brochure.
Winc is known for its subscription service where users sign up for wine delivery. According to the Winc website, customers can get four bottles each month for an introductory price of $ 29.95. The company had 120,000 members as of June 30, according to the prospectus. Nearly 76% of Winc’s total net sales for the six months ended June 30 came from its direct-to-consumer channel. Winc’s wholesale channel accounted for 22% of sales, according to the prospectus.
The company’s losses decreased to $ 3.3 million for the six months ended June 30, from $ 3.7 million for the same period in 2020. Revenue rose 20% to $ 35.1 million -Dollars for June 30th, says the prospectus.
Winc has raised $ 54.2 million in funding, Crunchbase said. According to the prospectus, Bessemer Venture Partners, a venture capital firm, will own around 10% after the IPO.
Write to Luisa Beltran at [email protected]