(Bloomberg) -- SmileDirectClub Inc. raised about $1.3 billion after pricing shares above its targeted range in the fifth biggest U.S. initial public offering of the year, a person with knowledge of the matter said.
The maker of alternatives to dental braces sold 58.5 million Class A shares on Wednesday for $23 each, according to the person, who asked not to be identified because the information wasn’t public yet. SmileDirectClub had offered the shares at $19 to $22 each, according to its filings with the U.S. Securities and Exchange Commission.
SmileDirectClub’s offering is the biggest in the U.S. since May, when Uber Technologies Inc. raised $8.1 billion in its IPO. It’s one of only seven U.S. listings topping $1 billion and the first to do so since pet supply company Chewy Inc. raised $1.02 billion in June.
The listing by SmileDirectClub could could set the tone for upcoming IPOs including exercise company Peloton Interactive Inc., which filed on Tuesday to raise up to $1.16 billion, and WeWork, the office-sharing company whose IPO plans have been beset by doubts among potential investors and its largest backer, SoftBank Group Corp. and its affiliates.
SmileDirectClub’s pricing was reported earlier by CNBC. The offering was led by JPMorgan Chase & Co. and Citigroup Inc. The shares are expected to begin trading Thursday on the Nasdaq Global Select Market under the symbol SDC.
To contact the reporter on this story: Crystal Tse in New York at ctse44@bloomberg.net
To contact the editors responsible for this story: Liana Baker at lbaker75@bloomberg.net, Michael Hytha
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