The Wall Street Journal: Online used-car seller Vroom seeks June IPO in confidential filing

The Wall Street Journal

Vroom hopes to take off like rival Carvana, despite chilly IPO market

A screenshot of Vroom Inc.’s homepage.


Vroom Inc.

Online used-car seller Vroom Inc. has filed confidentially for an initial public offering it hopes to stage in June, according to people familiar with its plans, a move that will test the ice-cold tech IPO market.

Vroom hopes to draft behind rival Carvana Co.
CVNA,
+2.47%

, a better-known online car seller whose shares have jumped sevenfold since its 2017 IPO. After falling 80% during the broader market’s selloff in March, Carvana’s shares have recovered to trade near record levels.

With social-distancing measures keeping consumers at home, online car sellers could benefit at the expense of traditional dealers, if buyers opt for a digital-shopping and at-home delivery experience over visiting dealer lots.

Market volatility this year has largely quieted the market for IPOs across many industries in the U.S. In the first two weeks of April, only two companies went public, raising a few hundred million dollars, according to data provider Dealogic. Vroom’s target IPO valuation isn’t clear. It raised $250 million in a private financing round in December that valued the company at $1.5 billion.

An expanded version of this report appears on WSJ.com:

Also popular on WSJ.com:

Why Clorox wipes are still so hard to find.

5 outdoor furniture trends of 2020 — for any budget.

What's your reaction?
Happy0
Lol0
Wow0
Wtf0
Sad0
Angry0
Rip0
Leave a Comment

escort eskişehir escort samsun escort gebze escort sakarya escort edirne