The unicorn’s assessment range is not impressive
Previously today, insurtech unicorn Lemonade submitted an S-1/ A, providing context into how the former startup may price its IPO and what the company may be worth when it starts to trade.
According to its new filing, Lemonade anticipates its IPO to price at $23 to $26 per share. As the business intends to sell 11 million shares in its debut, the leasing and house insurance-focused unicorn would raise in between $253 million and $286 million at those prices.
Counting an additional 1.65 million shares that it will make available to its underwriting banks, the company’s fundraise grows to $291 million to $3289 million. Consisting of shares provided to underwriters, Lemonade’s implied assessment provided its IPO cost variety runs from $1.30 billion to $1.47 billion.
That’s the news. Now, is that expected evaluation period strong, and, if not, what might it portend for other insurtech start-ups? Let’s talk about it.
Not fantastic, not dreadful
TechCrunch is consulting with the CEOs of Hippo (house owner’s insurance coverage) and Root (car insurance) later today, so we’ll get their notes in fast order relating to how Lemonade’s IPO is forming up, and if they are surprised by its prices targets.
However even without external commentary, the rates range that Lemonade is at least initially targeting is not terribly excellent. That said, it’s more powerful than I expected.
TechCrunch.
