![]() This isn’t the only ESG blackmark for Allbirds, which is also the subject of a class-action lawsuit, for misleading customers about how much carbon it uses to manufacture its wool sneakers and just how well it treats the sheep it needs to make them. In an updated IPO prospectus, Allbirds removed 32 references to the framework, removed a line that said it was going public while using the framework and one that said using the framework would make the IPO pricier. If the Allbirds IPO should fall short for the reasons above or others, would it really be worth the $2 billion valuation it’s expected to fetch? We’re about to see how that goes.Īllbirds recently amended references to its so-called “sustainable equity public offering framework” in its pre-IPO filing with the Securities and Exchagne Commission (SE), according to a recent report in the Financial Times. What if it doesn’t live up to its environmental claims? What if bigger retailers co-opt its message of sustainability? What if customers don’t actually care about the environment when deciding what shoes to buy as much as they tell pollsters they do? While Allbirds has talked a good game ahead of its IPO, there are clouds on the horizon. On WealthFront's Website Public Scrutiny Dilutes Allbirds’ Sparkle The message appears to have wings: Between 20, Allbirds’ revenue went from $126 million to almost $220 million while its store footprint grew from 3 to 22. “onsumers are looking for brands that are purpose-native and authentically sustainable, as customers demand transparency with respect to the products they buy,” Allbirds wrote in an SEC filing. But maybe even more importantly, the company is looking to fund managers who are desperate to buy the shares of companies that score well on environmental, social and governance ( ESG) metrics. Taste is a difficult nut to crack, but so far Allbirds has earned rave reviews, including being called “The World’s Most Comfortable Shoe” by Time Magazine.Īllbirds believes this combination of sustainability and cool will help it turbocharge sales among young adults who say they care about climate change. Of course, the shoes themselves have established a sterling reputation for cool among influential millennials. To establish its eco-bonafides, Allbirds publishes an annual sustainability report that outlines how exactly it plans to lessen its carbon footprint, including goals like employing regenerative material sources, avoiding petroleum and using energy more efficiently. ![]() That’s why if you care about climate change, you should go with Allbirds, it seems to imply. The Allbirds IPO makes two central claims to lure in potential investors: It produces cool shoes and clothing, and it manufactures and distributes products in as ecologically friendly a manner as it can.Ĭlick through its website and you’ll find statements like “Newsflash: Your Outfit is Killing the Planet” and copy that claims that “the global footwear industry produces more than 20 billion pairs of shoes every year, the vast majority of which are made with materials that damage the earth.”īut Allbirds isn’t like the corporate behemoths who run Big Sneaker, according to the company’s IPO marketing pitch. Allbirds Combines ESG Chic with Rapid Growth ![]() At the high end of that range, the IPO would earn Allbirds as much as $269 million.įounded in 2014, Allbirds has seen rapid growth in revenue over recent years, but it’s still racking up net losses. In a pre-IPO filing, the company said it would offer 19.2 million shares, priced between $12 and $14. On its website, Allbirds prominently features a tab dubbed “sustainability,” with a bevy of links to environmentally conscious initiatives. The firm is organized as a certified B-corporation, verified to balance profits with purpose and ecofriendliness. ![]() Much like the newly public eyeglasses company Warby Parker, Allbirds has an avid following among urban professionals, and it’s also fully embraced the ideals of sustainability. Trendy footwear startup Allbirds is set to launch an initial public offering ( IPO) this fall, with a valuation as high as $2.2 billion.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |