Levi Strauss plans to go public: report

Blue jeans pioneer Levi Strauss is going public with a valuation above $5 billion, CNBC reports citing sources familiar with the matter.

Levi’s declined to comment on the IPO plans. Goldman and J.P. Morgan, who are supposed to manage the deal, also maintained silence.

Levi’s is to planning to raise $600 million to $800 million and make its debut in the first quarter of 2019 although the timing and size of the offerings could change, the sources said.

Levi’s had gone public in 1971. As profits and stock prices fell, the descendants of Levi Strauss, the company’s founder, took it back through buyouts in 1984 and 1996.
Levi’s reported a revenue of $1.4 billion for the latest quarter showing a 10% increase from the same quarter a year ago. Last year, Levi’s recorded a revenue of nearly $5 billion and this year it is expected to cross that figure.

Over the past two years, the company also managed to halve its debt burden. It had borrowed billions of dollars when the market was moving to internet and e-commerce.

The 145-year-old, San Francisco-based company is run by its CEO Chip Bergh who joined the company after decades-old stint at Procter & Gamble.