E-commerce company Pattern (PTRN.US) priced its IPO at $14 per share with a market value reaching $2.5 billion. It will debut on the NASDAQ tonight.

American e-commerce company Pattern Group Inc. and some investors raised $300 million through an initial public offering (IPO) on the US stock market, with the IPO pricing at the midpoint of the previously marketed range. Pattern Group is an e-commerce company that resells goods on large e-commerce platforms including e-commerce giant Amazon.com Inc. According to a statement, the e-commerce company, headquartered in Lehi, Utah, and shareholders seeking to sell shares, collectively sold 21.43 million shares priced at $14 per share. The statement indicated that half of the shares were provided by Pattern, with the other half provided by its backers. The IPO pricing range had been set at $13 to $15 per share. Based on the latest IPO price, and the number of shares listed in the documents submitted to the US Securities and Exchange Commission (SEC), Pattern's market value upon entering the US stock market is estimated to be around $2.5 billion. According to data compiled by Marketplace Pulse based on the number of reviews sellers received in the past 30 days, Pattern ranks second on the Marketplace on Amazon's US market. In 2021, the company completed a $225 million financing round led by Knox Lane, increasing the company's pre-investment valuation to approximately $2 billion. Documents show that in the six months ending on June 30, Pattern's net profit was approximately $32.1 million, with total revenue of around $1.1 billion; compared to a net profit of $22.6 million and revenue of $841.3 million in the same period last year. According to its website, e-commerce company Pattern was founded in 2013 by David Wright and Melanie Alder, helping brands conduct promotional sales activities on third-party online e-commerce platforms (such as Amazon, Walmart, and Macy's e-commerce platforms). The company's core services include purchasing inventory for brands and selling it, assisting with e-commerce fulfillment and logistics management, and providing software and marketing services. Pattern is both a "brand distributor" and an "e-commerce operator + software tool provider", focusing on expanding and directly converting brand's online channels (especially marketplaces like Amazon) into sales. The company's main business includes: distribution/resale - directly purchasing brand inventory and selling it on major platforms under its own name; channel operation - building and managing stores for brands, covering listing, pricing, content optimization, advertising, and promotion strategies; fulfillment and logistics - assisting with inventory management, warehousing and cross-border logistics, and improving turnover and fulfillment efficiency; software and data marketing services - focusing on providing tools such as data analysis, competitor and traffic insights to help brands improve conversion and repeat purchases. Since the e-commerce boom during the COVID-19 pandemic has receded, brand aggregation companies have been in a downward consolidation phase. For example, Razor Group agreed last year to acquire Perch in an all-stock deal, raising the merged company's valuation to $1.7 billion. Following the completion of the IPO on the US stock market, the two co-founders are expected to hold 86.5% of the voting rights. Knox Lane is expected to hold 4.7% of the voting rights, and Banner Capital will hold 2.5%. The IPO plan is led by Wall Street financial giants Goldman Sachs and JPMorgan. The stock is expected to start trading publicly on the Nasdaq Global Select Market on Friday under the ticker symbol "PTRN".