Denim giant Levi Strauss & Co could expect to raise as much as US$587m through its initial public offering (IPO) which commenced today (11 March) amid plans to offer 36.7m shares priced at $14 to $16 each.
In a statement, the company said it will offer about 9.5m shares of Class A common stock, while its selling stockholders will offer 27.2m shares. It has applied to list its Class A common stock on the New York Stock Exchange under the ticker symbol ‘LEVI.’
The move, which was first announced last month, gives Levi Strauss a value of up to $6.17bn, according to Reuters.
In its public filing, Levi Strauss said it currently intends to use the net proceeds received from the offering for general corporate purposes, including working capital, operating expenses, and capital expenditures.
It added: “We may also use a portion of the net proceeds we receive from this offering for acquisitions or other strategic investments, although we do not currently have any plans to do so.”
The San Francisco-based company recently reported revenue of $5.58bn and net income of $283.1m for the year ended 28 November 2018.
Click here to read just-style’s recent interview with Michael Kobori, vice president of social and environmental sustainability at Levi Strauss & Co.