Bob’s Discount Furniture has completed a U.S. initial public offering that generated $330.7 million in proceeds, the company said on Wednesday. The offering consisted of approximately 19.5 million shares priced at $17 each, a figure inside the marketed range of $17 to $19 per share.
The pricing places the company’s market value at about $2.22 billion as it prepares to list on the New York Stock Exchange under the ticker symbol "BOBS." J.P. Morgan and Morgan Stanley served as joint-lead book-running managers for the transaction.
The IPO comes at a moment when first-time share sales are building on last year’s momentum, the company noted, with a combination of strong equity markets and a resilient U.S. economy encouraging more firms to pursue public listings. Private equity firms, including Bain Capital, are reported to be holding a record backlog of portfolio companies poised to access the public markets after an extended period in private hands.
Founded in 1991 as a single store in Connecticut, Bob’s has expanded into one of the largest furniture chains in the United States. The retailer now operates more than 200 showrooms across the country and sells a broad assortment of home furnishings, such as bedroom and dining-room sets, reclining furniture and table lamps.
The company has been under private equity ownership for roughly two decades. Bain Capital acquired Bob’s in 2014 from prior buyout owners KarpReilly and Apax Partners, continuing the chain’s run as a sponsor-backed enterprise ahead of its public offering.
Key context and implications
- IPO size and pricing: $330.7 million raised via about 19.5 million shares at $17 per share, valuing the company at approximately $2.22 billion.
- Market positioning: The offering tests investor demand for consumer-oriented companies and adds another retailer to the public markets as IPO activity accelerates.
- Ownership and listing details: Bain Capital-backed after its 2014 purchase; listing scheduled on the NYSE under the symbol BOBS with J.P. Morgan and Morgan Stanley as lead managers.
Risks and uncertainties
- Investor appetite - The listing could test market demand for consumer-focused names if sentiment toward retail stocks shifts.
- Market conditions - The company's public performance may be sensitive to changes in equity market momentum and the broader U.S. economic backdrop that supported recent IPO activity.
- Private equity supply - A growing pipeline of sponsor-backed companies seeking public listings could increase competition for investor capital in the IPO market.