Here are two US IPOs in focus for the week ahead:
Bruush Oral Care, Inc. (NASDAQ: BRSH)
Canadian company Bruush Oral Care plans on joining the NASDAQ Capital market under the ticker symbol BRSH through an offering of 2,469,136 total shares.
The business anticipates an offer price per share between $5.20 and $7.20. Consequently, the company appears on course to raise around $15.3m.
The BRSH stock IPO is anticipated on August 3, 2022.
What Does Bruush Oral Care Do?
Bruush Oral Care wants to make high-quality oral care products more accessible to improve oral health. It operates an e-commerce business selling its Brüush starter kit via its website. Brush heads are sold separately or via subscription.
Later this calendar year, Bruush intends to expand its portfolio with the launch of several new subscription-based consumable oral care products, including toothpaste, mouthwash, dental floss, a whitening pen, and an electric toothbrush designed for kids.
In 2021, the Company received over 200 brand-elevating press placements, most of which were earned (unpaid), including coverage in Allure Magazine, New York Times, Vogue, Refinery29, The Wall Street Journal, Essence, and Rolling Stone Magazine.
Bruush Oral Care’s topline revenue has been growing, but the margins are being pressured. This is a highly competitive industry, and Bruush is up against popular brands like Braun’s Oral B and big players like Procter & Gamble Co (NYSE: PG), Koninklijke Philips NV (NYSE: PHG), and Colgate-Palmolive Company (NYSE: CL). However, the target market is large and expected to grow at a moderate rate.
CEO Aneil Manhas founded Bruush Oral Care in 2018. Manhas is a former investment banker and private equity investor turned entrepreneur.
Risks to Investing in BRSH Stock
Inflation and a potential recession could reduce demand for electric toothbrushes as consumers tighten their purse strings. A slowdown could mean the company spends more on customer acquisition via advertising and marketing. Supply chain disruption is also a consideration.
Who is Leading the BRSH IPO?
Aegis Capital Corp is running the company’s initial public offering.
Use of BRSH IPO Proceeds
The company is taking BRSH stock public to pay down debt and further its growth.
There will not be any proceeds from the distribution of the Common Stock by the Security Holders. All proceeds from the sale of the Common Stock will be paid directly to the selling security holders.
Security holders include Ionic Ventures, LLC, GPL Ventures, LLC, Bigger Capital Fund LP, and the District 2 Capital Fund LP.
Loop Media, Inc. (NYSEAMERICAN: LPTV)
Loop Media, Inc is planning on joining the NYSE American index under the ticker symbol LPTV through an offering of 4,428,044 total shares. It hopes to issue the sale of its common stock at an assumed public offering price of $2.71.
The business currently lists its shares on the Pink Open Market operated by OTC Markets Group Inc. under the symbol “LPTV.” The last reported sale price of our common stock on 19 July 2022, was $2.26 per share.
The LPTV IPO is expected to run on 4 August 2022. It appears on course to raise around $12m.
What Does Loop Media, Inc. Do?
Loop Media is a multichannel digital video platform media company that uses marketing technology, or “MarTech,” to generate revenue and offer its services. This includes curated short-form videos for out-of-home marketing.
Loop Media provides proprietary content streaming boxes to dining, hospitality, retail and other locations and venues to enable them to inform, entertain and engage their customers. From this, Loop Media earns ad revenues.
The company offers music video content licensed from major and independent record labels, as well as movie and television trailers, news headlines, and other videos. The company has licenses with all three major music labels.
Loop Media was founded in 2015 and booked $11m in revenue for the 12 months ended 31 March 2022.
Who is Leading the LPTV IPO?
Roth Capital Partners is running the company’s initial public offering.
Use of LPTV IPO Proceeds
The company intends to use the net proceeds from the LPTV stock offering for marketing, new customer development, and payment of offering-related bonuses (in the aggregate amount of approximately $1,100,000) to certain officers, working capital and other general corporate purposes.