Casper Sleep’s IPO expected to test appetite for loss-making unicorns

Casper Sleep Inc., the startup that popularized the bed-in-a-box trend, has filed for an initial public offering with plans to list on the New York Stock Exchange in a deal expected to test market appetite for loss-making unicorns.

The company has filed to raise $100 million, likely a placeholder sum. The New York Post reported this week that Chief Executive Philip Krim, a co-founder, is determined to achieve a $1 billion valuation in the IPO. The company is slated to list under the ticker symbol “CSPR.” Proceeds of the deal are to be used to repay debt, fund growth and for general corporate purposes, according to a filing document.

“We believe we are the first company that understands and serves the Sleep Economy in a holistic way,” reads the prospectus. The brand is “genuine, trustworthy, and approachable, as well as fun and playful,” it adds.However, Casper is operating in a highly competitive marketplace, and many of its competitors market the same bed-in-a-box product, in some cases at lower prices. In the prospectus, the company names as competitors household-name mattress brands Tempur Sealy International TPX, -0.

Revenue in the first nine months of 2019 came to $312 million, up from $259.7 million in the year-earlier period. That’s net of $80,085, $57,659, $80,695 and $45,656 in refunds, returns and discounts for the nine months ended Sept. 30, 2019, and 2018 and the year ended Dec. 31, 2018, and 2017, respectively. Customers can return a mattress with a full refund within 100 days.

Coming to an IPO market that has rejected other companies with $1 billion–plus valuations that were loss making, Casper will not have an easy time of it, he said.

Because IPOs allow a closed group of big money investors to get in early and get shares below opening price, then they ride the wave of the overhyped stock being bought by computers and day traders, then they sell out for a huge profit.

United States Latest News, United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

African unicorn Jumia looks to services, platforms to halt slideJumia became the first African tech firm to list in New York last year. But its stocks have fallen nearly 70% since then. Co-founder JHodara talks to Reuters on plans to halt the slide JHodara No pain no gain. Don't give up.
Source: Reuters - 🏆 2. / 97 Read more »

The Only New-Mom Hack Is MoneyNight nurses, sleep consultants, and The Snoo bassinet — the common denominator of all the 'hacks' for new moms to get more sleep is money. Breastfeed and cosleep. Both are free. 😉 Breastfeeding isn’t free unless you’re unemployed.
Source: InStyle - 🏆 103. / 63 Read more »

Kate Upton reflects on 'extremely unnecessary' snap-back pressure for moms'Every mother's experience is different with every baby.' Probably why they don't swap. Hell yeah. Justin Verlander is a legend. That dude needs to be on Rushmore.
Source: ABC - 🏆 471. / 51 Read more »

It May Not Be Your Fault that You Can’t Lose Weight. Here's Why.4 reasons why losing weight can be such a struggle—and the healthier way to think about your size Women are designed to gain weight for a purpose. They need to be aware of it, but not abuse it. Once we reach 21, the individual must be aware that she could no longer take her pleasure from food. Sex organs come to maturity for that purpose. She must embrace the new avenue. Abis baca ini. Pas baca kayak “oke gausa diet diet lagi, yg penting sehat.” Tapi pas selesai baca mulai lagi, “kapan angka di timbangan gua turun ya tuhan.” :”) Dangerous
Source: PsychToday - 🏆 714. / 51 Read more »

IPO demand is strong for 2020, say NYSE president and Nasdaq CEONew York Stock Exchange President Stacey Cunningham spoke to CNBC's 'Squawk Box' on Thursday from the World Economic Forum's annual meeting in Davos. Hahahahahahahahahahahaha Suuuuuuure. DoorDash Casper Instacart etc etc
Source: CNBC - 🏆 12. / 72 Read more »