Wearable-maker filed papers with US regulators over weekend indicating plans for stock offering
FitBit looks set to undertake an Initial Public Offering that could raise as much as $100 million (£63 million) after filing initial papers with US regulators on Friday.
The prospectus revealed that the US-based wearable maker has increased its sales almost tenfold in the last two years, from $76 million in 2012 to $745 million (£475 million) last year. It posted profits of $131 million (£83 million).
It also revealed sales of $337 million (£215 million) during the first three months of this year up to March 31, with gross margins increasing from 41 per cent to 50 per cent.
According to analysts surveyed by Thomson Reuters, the IPO could raise more than $100 million for the Californian firm, although FitBit has not disclosed how many shares it plans to sell. It said it intends to list on the London Stock Exchange under the symbol “FIT”.
FitBit first launched in California in 2007 and said it has sold 20.8 million devices as of March 31, more than half of which were sold last year.
It claims to have more than half of the US fitness band market, citing research from NPD Group. According to analysts CCS Insight, the global wearables market will grow by 158 per cent this year to 78 million units.