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Lulu’s makes online shopping and going public look good INTL

Lulu’s makes online shopping and going public look good 

Online fashion retailer, Lulu’s Fashion Lounge, is all ready for the IPO runway as it filed for a listing on Tuesday. The company is placing the offering size at around $100m, with an estimated valuation of $1b.

The California-based company has PE company HIG Capital as one of its main investors, and is a fast-fashion boutique with its customers mostly being from a younger demographic. Lulu’s is completely online-based with 2.5 million active customers that led to it reaching $7m net income and revenues of $173m in H1 2021. The IPO is most likely an opportunity to strike while the iron’s hot, as its recent financials are a quick turnaround compared to its $15m net loss in H1 2020.

why it matters

Listings this year in the US have raised more money than they did during the dot-com bubble in 2000. Lulu’s joins the listing craze as it plans to trade under the ticker “LVLU” soon.