Parent company behind Il Makiage makeup brand targets $1.7 billion market value in initial public offering (IPO)
Rewritten Article:
Chain Reaction: Oddity's Big Bid and Financial Journey
Oddity Tech, the powerhouse behind Il Makiage and SpoiledChild, aims high with its latest move. In a bold stride, this innovative player in consumer tech and beauty is poised to take flight, with an IPO valuation eyeing up to a whopping $1.69 billion. Oddity made this splashy debut on Monday, offering a splendid $316 million, subject to fluctuating share prices ($27-$30).
The dynamicentity, which also embraces the skin care label SpoiledChild, officially donned its IPO feathers. The offering features 10,526,314 Class A shares, with Oddity divulging 1,754,385 and certain stockholders hoarding 8,771,929 [Retail Dive].
Within the filings of the company's F-1 with the U.S. Securities and Exchange Commission, we can glimpse the company's aspirations for net proceeds near $41 million. This tantalizing sum materializes under the assumption of shares selling at the midpoint price of $28.50 [Retail Dive]. The proposed IPO also breathes life into 56,545,702 Class A and B shares, pending the offering [Retail Dive].
Claiming the role of a disrupter, Oddity, armed with its digitally native brands, plans to incessantly launch novel offerings. These brands bask in the glow of Oddity's sophisticated technology and data science departments, while maintaining a distinct identity and leadership structure [Retail Dive].
According to existing data, Oddity fortified itself with a generous $130 million in funding backed by prestigious investors, such as Thomas Tull, Franklin Templeton, Fidelity Management & Research Company, and First Light Capital Group, back in January 2022 [Retail Dive]. This influx of dollars catapulted the company to a valuation of $1.5 billion.
Venturing into the first quarter of 2025, Oddity Tech has scorched a path of growth. Key noteables include a staggering 27% year-over-year increase in net revenue to $268 million [Enrichment Data #1], an Adjusted EBITDA of $52 million [Enrichment Data #1], a net income of $38 million with an adjusted net income of $42 million [Enrichment Data #1], and impressive operating cash flow and free cash flow of $88 million and $87 million, respectively [Enrichment Data #2].
In their continued quest to conquer the beauty industry, Oddity's strategic investments in AI-powered beauty solutions, such as personalized makeup from Il Makiage and SpoiledChild skincare products, have primed them for sustained success in the digital beauty space [Enrichment Data #5]. As the industry advances at breakneck speed, Oddity remains relentless, with its CEO, Oran Holtzman, citing a full-force attack on expansion [Enrichment Data #2].
Skeptics have raised concerns over potential US tariff hikes, but Oddity profiles itself as remarkably resilient, with these hazards manageably offset by cost efficiencies [Enrichment Data #4]. The company charges forward with an optimistic 2025 revenue outlook, exceeding the previous year's sum with an ambitious 22% to 23% increase [Enrichment Data #4].
With bold ambition and a firm financial foundation, Oddity is well on its way to disrupt the beauty tech landscape and rewrite the rules of the game.
- Oddity Tech, a company known for its digital native brands in tech and beauty, has shown an interest in expanding its horizons beyond consumer products.
- As part of their ambitious plans, Oddity aims to leverage AI and data science to develop innovative offerings, especially in the realm of personalized beauty solutions.
- To fuel this growth, Oddity has secured significant funding, having received $130 million in investments from prominent players like Thomas Tull, Franklin Templeton, Fidelity Management & Research Company, and First Light Capital Group.
- With a strong financial foundation, Oddity also boasts impressive growth metrics, such as a 27% year-over-year increase in net revenue, $52 million in Adjusted EBITDA, and an optimistic 22% to 23% revenue outlook for 2025.
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