Fitbit is on track to be the first wearable tech-focused company to go public.
In a filing Thursday with the Securities and Exchange Commission, the 8-year-old startup -- a leading maker of fitness- and health-tracking gadgets based in San Francisco -- is seeking to raise $100 million in common stock on the New York Stock Exchange. The lead underwriters are Morgan Stanley, Deutsche Bank and Bank of America Merrill Lynch.
Wearable technology has hit a critical mass of mainstream attention this year with the launch of the Apple Watch and the trajectory of the burgeoning industry has investors and entrepreneurs paying close attention. Nearly every traditional technology company -- from Intel and Microsoft to Samsung and LG -- has a device for sale or a hand in the market. Not only has the area attracted the interest of tech titans, but it's been a hotbed for rising startups like Fitbit and competitors Jawbone and Pebble, as well as an area of interest from an expansive set of traditional apparel and jewelry companies like watchmaker Fossil, fashion house Open Ceremony and clothing company Under Amour.
"It really signals that the fitness tracker category has finally penetrated the mass market," said Wes Henderek, an industry analyst with the NPD Group. "It's no longer just a niche category and is appealing to a much wider range of consumers who are not fitness buffs." Henderek said that Fitbit, as the most dominant player in the category by a wide margin, is trying to nail its IPO timing to ensure it can grow even faster.
Founded in October 2007 by James Park and Eric Friedman, Fitbit makes a wide range of simple, colorful devices meant to be clipped or strapped to the body for counting steps, measuring sleep activity and monitoring workouts. Fitbit also makes companion software for smartphones and a Web application that both display stats, offer insights and training tips and let users input what they ate throughout the day to track caloric intake and other daily health metrics.
In a filing Thursday with the Securities and Exchange Commission, the 8-year-old startup -- a leading maker of fitness- and health-tracking gadgets based in San Francisco -- is seeking to raise $100 million in common stock on the New York Stock Exchange. The lead underwriters are Morgan Stanley, Deutsche Bank and Bank of America Merrill Lynch.
Wearable technology has hit a critical mass of mainstream attention this year with the launch of the Apple Watch and the trajectory of the burgeoning industry has investors and entrepreneurs paying close attention. Nearly every traditional technology company -- from Intel and Microsoft to Samsung and LG -- has a device for sale or a hand in the market. Not only has the area attracted the interest of tech titans, but it's been a hotbed for rising startups like Fitbit and competitors Jawbone and Pebble, as well as an area of interest from an expansive set of traditional apparel and jewelry companies like watchmaker Fossil, fashion house Open Ceremony and clothing company Under Amour.
"It really signals that the fitness tracker category has finally penetrated the mass market," said Wes Henderek, an industry analyst with the NPD Group. "It's no longer just a niche category and is appealing to a much wider range of consumers who are not fitness buffs." Henderek said that Fitbit, as the most dominant player in the category by a wide margin, is trying to nail its IPO timing to ensure it can grow even faster.
Founded in October 2007 by James Park and Eric Friedman, Fitbit makes a wide range of simple, colorful devices meant to be clipped or strapped to the body for counting steps, measuring sleep activity and monitoring workouts. Fitbit also makes companion software for smartphones and a Web application that both display stats, offer insights and training tips and let users input what they ate throughout the day to track caloric intake and other daily health metrics.
