Weber plans IPO after COVID ignited grilling enthusiasts
The standard in charcoal grills also offers gas, electric, charcoal smoker and wood pellet product options.
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The company behind Weber grills is ready for its Wall Street debut following the world's revved-up embrace of home grilling and smoking sparked by the 2020 coronavirus lockdowns.
The classic standard in American charcoal grills, owned by Weber-Stephen Products LLC, has filed for its initial public offering in a deal that could value the company between $4 and $6 billion, per reports. The company is expected to trade under the ticker "WEBR" after listing on the New York Stock Exchange, owned by Intercontinental Exchange.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| ICE | INTERCONTINENTAL EXCHANGE INC. | 158.29 | -2.67 | -1.66% |
Weber's S-1 filed with the Securities and Exchange Commission boasts that the company's products are sold in 78 countries, with 24% global market share, more than $1.5 billion in revenue, and 80% brand awareness. The firm says it captured 29% of U.S. business in the outdoor cooking market last year.
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From the six months leading up to March 31, 2020, to March 31, 2021, Weber says they saw a boost in revenue from $596.4 million to $963.3 million, showing year-over-year growth of 62%. They also realized an increase in net income from $23.6 million to $73.8 million, showing year-over-year growth of 213%.
The company, which started with its original kettle grill invented by George Stephen in 1952, now offers gas, electric, charcoal smoker and wood pellet product options – along with accessories such as grill covers, cutting boards, and replacement parts. They now sell wholesale to 4,710 retailers with 31,690 physical locations.
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But they do have healthy competition.
Weber's IPO comes just one week after the IPO filing for competitor Traeger, whose S-1 also stated an estimated value of $100 million. Traeger's highest product sells for around $2,000. The company boasted that their "revenue increased by 107.0% for the three months ended March 31, 2021 as compared to the three months ended March 31, 2020, and reached $235.6 million for the three months ended March 31, 2021."