(Businesshala) – Vinc Inc is looking to raise $80 million in an initial public offering in the United States, with the winemaker targeting a valuation of about $263 million, according to a regulatory filing on Wednesday.
The California-based company plans to sell 5 million shares of its common stock in a Santa Monica IPO, priced between $14 and $16 per share.
Originally launched in 2011 as Club W and re-branded in 2016, Wink’s portfolio of brands includes “Lost Poet” and “Folie of the Beast”. The company operates a wholesale channel apart from selling products directly to the consumers.
Vink said in its prospectus that since March 2020, due to the closure of public places due to the coronavirus outbreak, the company saw an increase in consumer demand mainly due to remote working, allowing people to spend more time at home. was forced.
Winc’s main revenue driver is its direct-to-consumer (DTC) channel through which the company sells its products online.
The winemaker gives customers a discount on the first purchase, which usually consists of a four-bottle order, after which it encourages them to sign up for a Winc.com membership.
To collect projected revenue each month, Winc charges a monthly subscription fee in exchange for credits, which can be used to purchase products on its online channel. Unused credits expire each month and never expire.
It competes with the likes of Constellation Brands Inc. and Duckhorn Vineyards, a brand owned by Duckhorn Portfolio Inc.
BofA Securities and Canaccord are among the underwriters for the Genuity offering, which Winc expects to list on the New York Stock Exchange under the symbol “WBEV”.