YogaWorks, which owns and operates 50 yoga studios within 6 U.S. markets, has plans to raise $65 Million by offering 5 Million shares between $12-$14. The yoga chain, which plans to list on the NASDAQ Global Market under the symbol YOGA, is not currently profitable, losing $9.4 Million in 2016. Net Revenues however, are growing, and the company says it’s been deferring revenue by converting members from a subscription based to class pass model.
Howie Long-Short opines: Dare I say it’s a stretch to call this a hot IPO? Oh God. Sorry. Really though, a yoga studio roll-up sounds even worse than a golf club roll-up (MYCC). This one smells.
Fan Marino says: I’m not convinced stretching can be considered a workout. If you have to crank up the heat to 95 degrees to work up a sweat, are you actually working up a sweat?