SmileDirectClub has raised $1.3 billion in an IPO by selling 58.5 million shares at $23 apiece, above an expected range of $19 to $22 per share. The offering values the Nashville-based dentistry business at roughly $8.9 billion-a massive jump from last October, when Clayton Dubilier & Rice led a $380 million investment at a $3.2 billion valuation, alongside VCs Kleiner Perkins and Spark Capital. SmileDirectClub plans to trade on the Nasdaq under the ticker symbol SDC.
As with many tech companies, SmileDirectClub has shown extreme growth but isn’t yet profitable. The business posted $423.2 million in sales last year, marking a 190% bump, but posted a net loss of $74.8 million, more than doubling its $32.8 million net loss in 2017. The company started in 2014 as an online site that sold teeth aligners directly to consumers, but has since expanded to include over 300 brick-and-mortar locations, dubbed “SmileShops.”
Related read: SmileDirectClub could top $8B valuation in IPO
Source:: Daily Times