Yeti Closes in on IPO

By Chris Lange Updated Jan 11, 4:00PM EST · Published Oct 23, 10:05AM EDT

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Yeti has registered an amended S-1 form with the U.S. Securities and Exchange Commission (SEC) for its initial public offering (IPO). The company intends to price its 20 million shares in the range of $19 to $21 per share, with an overallotment option for an additional 3 million shares. At the maximum price, the entire offering is valued up to $483.0 million. The company intends to list its shares on the New York Stock Exchange under the symbol YETI.

It’s worth pointing out that of the 20 million shares being offered, 17.5 million are coming for the selling stockholders and 2.5 million are coming from Yeti.

The underwriters for the offering are Merrill Lynch, Morgan Stanley, Jefferies, Baird, Piper Jaffray, Citigroup, Goldman Sachs, Keybanc, William Blair, Raymond James, Stifel and Academy Securities.

This is a rapidly growing designer, marketer and distributor of premium products for the outdoor and recreation market. The brand promise is to ensure each product will deliver exceptional performance and durability in any environment. By consistently delivering on this promise, the company believes that it has built a following of passionate and engaged consumers, ranging from serious outdoor enthusiasts to individuals who value products of uncompromising quality and design.

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The company maintains an active roster of Yeti Ambassadors, a group of world-class hunters, anglers, rodeo cowboys, barbecue pitmasters and outdoor adventurers who embody the brand.

Yeti also directly engages with its consumers by sponsoring and participating in a variety of events, including sportsman shows, outdoor festivals, rodeos, music and film festivals, barbecue competitions, fishing tournaments and retailer events. The company believes its innovative consumer engagement reinforces the authenticity and aspirational nature of its brand and products across its expanding consumer base.

In the filing, the company detailed its finances as follows:

The broadening demand for our innovative and distinctive products is evidenced by our net sales growth from $89.9 million in 2013 to $639.2 million in 2017, representing a compound annual growth rate, or CAGR, of 63%. Over the same period, operating income grew from $15.2 million to $64.0 million, representing a CAGR of 43%, net income grew from $7.3 million to $15.4 million, representing a CAGR of 21%, Adjusted Operating Income grew from $16.3 million to $76.0 million, representing a CAGR of 47%, Adjusted Net Income grew from $8.0 million to $23.1 million, representing a CAGR of 30%, and our Adjusted EBITDA increased from $21.8 million to $97.5 million, representing a CAGR of 45%.

Yeti intends to use the net proceeds from this offering for working capital and general corporate purposes.

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About the Author Chris Lange →

Chris Lange is a writer for 24/7 Wall St., based in Houston. He has covered financial markets over the past decade with an emphasis on healthcare, tech, and IPOs. During this time, he has published thousands of articles with insightful analysis across these complex fields. Currently, Lange's focus is on military and geopolitical topics.

Lange's work has been quoted or mentioned in Forbes, The New York Times, Business Insider, USA Today, MSN, Yahoo, The Verge, Vice, The Intelligencer, Quartz, Nasdaq, The Motley Fool, Fox Business, International Business Times, The Street, Seeking Alpha, Barron’s, Benzinga, and many other major publications.

A graduate of Southwestern University in Georgetown, Texas, Lange majored in business with a particular focus on investments. He has previous experience in the banking industry and startups.