Poshmark, Petco Set Terms for IPOs, Joining 2021 Rush to Market

The Petco application on a smartphone arranged in Hastings-on-Hudson, New York, U.S., on Monday, Jan. 4, 2021 A booming market for U.S. initial public offerings shows no sign of slowing in 2021. Petco filed for an initial public offering and will trade on the Nasdaq under the ticker WOOF.

(Bloomberg) -- Pet retail chain Petco Health and Wellness Co. and online fashion marketplace Poshmark Inc. set terms for their U.S. initial public offerings Wednesday, joining a rush of companies expected to tap public markets early in 2021.

Petco is aiming to raise as much as $816 million in its listing, while Poshmark is seeking as much as $257.4 million, according to separate filings Wednesday with the U.S. Securities and Exchange Commission.

The two consumer brands join Affirm Holdings Inc. in tapping the IPO market, in what is expected to be a busy month and quarter for these transactions. Installment loan provider Affirm filed on Tuesday to raise $935 million in a listing.

Poshmark will offer 6.6 million shares at $35 to $39 apiece. Its share sale is being led by Morgan Stanley, Goldman Sachs Group Inc. and Barclays Plc. The company plans to list its shares on the Nasdaq Global Select Market under the symbol POSH.

At the top end of the price range, the IPO could give Poshmark a fully diluted valuation of about $3.3 billion, and a market value of almost $2.9 billion.

Petco plans to offer 48 million shares at $14 to $17 each. Goldman Sachs and Bank of America Corp. are leading the IPO, which could give Petco a market valuation of $4.4 billion at the top end of the range. It aims to list on Nasdaq under the symbol WOOF.

Private equity firms CVC and CPP Investments will have about 81% of the voting rights to Petco after its IPO, the filing shows.