Wine producer and distributor Winc plans to raise up to $80 million in an initial public offering.
The Santa Monica, California-based company said it plans to offer 5 million shares of its common stock priced at between $14 and $16 a share. The offering would put the company at a valuation of about $263 million.
Winc has registered to list its stock on the New York Stock Exchange under the symbol “WBEV.”
The company also plans to grant the underwriters a 30-day option to purchase up to 750,000 additional shares of its common stock at the public offering price, less underwriting discounts and commissions.
BofA Securities and Canaccord Genuity are acting as joint lead book-running managers for the proposed offering. Craig-Hallum and Roth Capital Partners are also acting as book-running managers and The Benchmark Company is acting as co-manager.
Founded in 2011, Winc focuses on selling wines directly to consumers and said it is one of the fastest growing at scale wineries in the United States. In its filing with the Securities and Exchange Commission, the company said it has grown by 80% in case volume sold over the past two years, and it sold more than 430,000 cases in 2020.
It also said it has seen increased direct-to-consumer demand due to changes to consumer behaviors due to the Covid-19 pandemic. The company, which offers a subscription service, said it has about 120,000 Winc.com members, and it also has a wholesale presence with 7,700 retail accounts in 2020.
Winc said it aims to grow both its online member base and expand its wholesale presence to at least 50,000 retail accounts in the next five years.
“Our growth is fueled by the joint capabilities of our data-driven brand development strategy paired with a true omni-channel distribution network,” Winc said.
Winc reported $71 million in sales for the 12 months ended June 30. The company posted a net loss of $1.3 million in the quarter ended Sept. 30 on total revenue of $17.8 million.
Winc’s portfolio of brands include “Lost Poet” and “Folly of the Beast.”
