Revolve Sets IPO Range, Sees $1.2B Valuation

Revolve is ready for Wall Street. The e-commerce company, which bills itself as “the next-generation fashion retailer for Millennial and Generation Z consumers,” set its initial public offering price at $16 to $18 a share, according to a regulatory filing Tuesday. That sets the company to start trading Class A shares under the “RVLV” ticker symbol on the New York Stock Exchange following a road show for would-be investors. At the midpoint of the expected price range, Revolve would be valued at $1.2 billion and the IPO would raise $230 million. About $43 million of that would go directly to the company, which plans to use $40.8 million to buy 2.4 million shares of its common stock from investors TSG and Capretto. (TSG is also selling 7.1 million shares in the offering, while Capretto is selling 392,928 shares). Morgan Stanley and Credit Suisse will act as lead joint book-running managers for the offering. In its IPO paperwork, Revolve said, “The principal purposes of this offering are to increase our financial flexibility, create a public market for our class A common stock and improve our brand awareness.” After the offering, co-chief executive officers Michael Karanikolas and Michael Mente will continue to control two-thirds of the company’s voting

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