DANIA BEACH, Fla. — Chewy, Inc., a subsidiary of PetSmart, Inc., officially went public June 13 after announcing the pricing of its initial public offering of Class A common stock. The company is offering 46.5 million shares at $22 per share, of which 5.6 million will be sold directly by Chewy and 40.9 million will be sold “by a wholly-owned subsidiary of PetSmart,” also known as “the Selling Stockholder.”
The company began selling stock June 14, opening on Wall Street at $36 (64% above its IPO), climbing to $41.34 and closing with $34.99, with a total volume of 69.6 million shares. At close, Chewy’s stock had climbed 59%.
According to The Wall Street Journal, the e-commerce pet product company is worth approximately $14.3 billion on the stock market at $36 per share.
Chewy raised the IPO from $17-$19 to $19-$21 on June 12 before eventually settling on $22 per share.
The Selling Stockholder also offered underwriters an option to purchase an additional 6.975 million Class A shares.
Chewy will not see proceeds from the sales of any shares sold by the Selling Stockholder, according to the company.
The offering is expected to close on June 18, according to Chewy.
Morgan Stanley & Co. LLC, J.P. Morgan Securities LLC and Allen & Company LLC are serving as lead bookrunning managers, alongside joint managers BofA Merril Lynch; Barclays Capital Inc.; BC Partners Securities LLC; Jefferies LLC; RBC Capital Markets, LLC; UBS Securities LLC and Wells Fargo Securities, LLC. Co-managers are Nomura Securities International, Inc.; Raymond James & Associates, Inc.; and William Blair & Company, LLC.
Chewy, Inc. was acquired by PetSmart in 2017.
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