The barbecue battle is heating up as Weber Grill will officially begin trading on the New York Stock Exchange Thursday under the ticker symbol WEBR.
The grill maker is selling approximately 17.8 million shares in its initial public offering at $14 per share, valuing the company at about $5 billion. In addition, underwriters have been granted a 30-day option to purchase approximately 2.6 million additional shares of common stock.
WEBER PRICES BELOW EXPECTATIONS AS GRILL MAKER DOWNSIZES ITS IPO
For the six-month period ending March 31, Weber Grill’s revenue grew 62% year over year, from $596.4 million to $963.3 million, according to the company’s S-1 prospectus. The company posted a net profit of $73.8 million, a 213% year-over-year increase from $23.6 million over the same six-month period a year ago.
Weber, which boasts a 24% global market share, sells its products across 78 countries to 4,710 wholesale retailers and 31,690 physical locations. The company, which started with its original kettle grill invented by George Stephen in 1952, now offers gas, electric, charcoal smoker and wood pellet product options – along with accessories such as grill covers, cutting boards, and replacement parts.
Weber says it captured approximately 29% market share in the outdoor cooking category sold online in the U.S. in 2020.
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Weber’s IPO comes roughly a week after rival Traeger rallied in its first day of trading following its stock market debut.
Traeger, which is known for its wood pellet grills, saw its sales surge 107% year-over-year in the first quarter of the year to about $235 million, up from $113.8 million a year ago. The company posted a first quarter net profit of $38.9 million, up from $7.9 million a year ago.
Fox Business’ Breck Dumas contributed to this report.
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