The 145-year-old company, which intends to list as «LEVI», set a placeholder amount of $US100 million to indicate the size of the IPO. The final size of the IPO could be different.
Levi’s is controlled by the descendents of founder Levi Strauss. It is required to post quarterly earnings with US regulators as it its Japanese arm, Levi Strauss K.K, is publicly traded in Tokyo.
In its latest report, the American apparel company said sales rose nearly 9 per cent to $US1.59 billion. Its filings also show that it has halved its debt load over the last two years.
Levi’s sells its products in more than 50,000 retail locations, including about 3,000 standalone stores and shops-in-shops across 110 countries. It sells apparel under the Levi’s, Dockers and Denizen brands.
Jane Hali, head of investment research firm Jane Hali & Associates, said she thinks it is a good time for Levi’s to go public, as jeans — particularly fashion jeans — seem to be resonating with consumers.
Multi-brand specialty retailer American Eagle Outfitters Inc , for instance, has invested heavily in refreshing its jeans collection and has grown its total US jeans market share to 7 per cent, second only to Walmart Inc at 10 per cent, according to a Cowen and Company research note published January 15.
US teen apparel retailer Abercrombie & Fitch has also noted a growing demand for fashion denim.
«Denim is doing much better than it has in the past and Levi’s has the ability to be mass market,» Hali said, adding that Levi’s will make its stock market comeback with a strong, diversified portfolio under its belt.
With Levi’s IPO filing, the company joins a list of high-profile companies seeking to go public this year including ride-hailing companies Uber Technologies and Lyft, photo-posting app firm Pinterest and home-renting company Airbnb.
Goldman Sachs, JPMorgan, BofA Merrill Lynch and Morgan Stanley are part of a 12-member underwriting team handling the IPO.