ThredUp Online Thrift Store Records for IPOs

ThredUp Inc. has filed for an initial public offering, the latest retailer trying to capitalize on generational shifts towards online sales and second-hand goods.

The Oakland, Calif., Company, which sells second-hand clothing and accessories online, had confidentially filed a public offering in January.

Thredup has registered to sell $ 100 million in stock, although this is often a placeholder used to calculate filing fees. Underwriters included Goldman Sachs and Morgan Stanley.

ThredUp’s listed revenue of $ 186 million in 2020, up 14% year-over-year. Net losses reached $ 47.9 million in 2020, up from $ 38.2 million in 2019, he said.

In its prospectus, ThredUP said it had 1.24 million active buyers and 428,000 active sellers at the end of December; the number of buyers increased by 24% and the number of sellers by 4% compared to December 2019.

The pandemic has accelerated trends in online sales, and growing environmental concerns have fueled resale growth.

Read: The switch to savings: COVID-19 propels an already booming thrift market

“We believe we are in the early stages of capitalizing on a significant and growing market opportunity in second-hand clothing,” the company said on the record. “Each year, more and more Millennials and Gen Z consumers are driving the switch to the occasion. As these consumers mature, generate more disposable income and become a larger part of the consumer wallet, we expect the opportunity to seize it. “

ThredUp joins several other recently publicized digital resellers including Poshmark Inc. POSH,
+ 6.19%,
who announced plans to enter the pet market last month, and parent of the Wish app, ContextLogic Inc. WISH,
-2.01%.


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Anne G. Cash

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