Oura may hold a US IPO at a valuation of more than $16 billion — TechCrunch
Smart ring maker Oura, which has offices in San Francisco and Finland, plans to raise up to $3 billion in a US initial public offering, according to Bloomberg. The IPO could take place as early as September, and the company’s valuation could exceed $16 billion, TechCrunch reports, citing Bloomberg.
Bloomberg also reports that investors may sell a significant portion of shares as part of the offering. The company employs more than 900 people. In May, Oura said it had confidentially filed for an IPO.
Valuation and competition
The potential valuation of more than $16 billion is significantly higher than the $10.9 billion at which Oura was valued in September last year. At that time, the company closed an $875 million Series E funding round involving Fidelity, ICONIQ, Whale Rock and Atreides. Its previous investors include Dexcom, The Chernin Group, Forerunner Ventures, Coatue and Temasek.
More current news is available on the UA.News Telegram channel Telegram.
Competition is intensifying in the wearable device market. Samsung introduced its own Galaxy Ring smart ring two years ago. One of Oura’s direct competitors is fitness tracker maker Whoop, whose valuation reached $10 billion in March. The company has expanded its target audience by adding hormone tracking and blood tests, including for perimenopause and thyroid health.
Lawsuit over sleep tracking
Last week, a lawsuit seeking class-action status was filed against Oura in San Francisco. The lawsuit accuses the company of misleading consumers about the accuracy of its sleep-tracking features, including sleep-stage detection.
An Oura representative told TechCrunch that the company intends to defend itself against these claims through the proper legal process. According to the representative, the Oura Ring is not a medical device and does not replace a clinical sleep study, while the device’s sleep-stage detection has been validated and compared with polysomnography in several studies.
