Smart ring maker Oura is seeking to raise as much as $2.2 billion in its initial public offering, but most of the money from the deal will go to existing shareholders rather than the company. Oura and its investors plan to sell 50 million shares for between $40 and $44 each, according to its latest regulatory filing.
Existing shareholders are offering 36.5 million of those shares, while Oura itself will sell 13.5 million. At the $42 midpoint of the proposed range, investors would receive about $1.53 billion before fees, compared with $567 million in gross proceeds for Oura.
Forerunner Plans to Sell Its Entire Stake
Forerunner Ventures stands to receive the largest payout. The venture firm plans to sell its entire 9.3% stake, totaling roughly 28.7 million shares, according to Oura’s updated IPO filing.
At $42 per share, those shares would be worth about $1.2 billion before underwriting fees and taxes. Forerunner’s shares represent nearly 80% of the stock being sold by existing shareholders.
The venture firm first invested in Oura’s $28 million Series B round in 2020. Oura subsequently raised increasingly larger rounds, including $200 million at a $5.2 billion valuation in 2024 and $900 million at an approximately $11 billion valuation in October 2025.
Oura could reach a market capitalization of about $14.1 billion if the IPO prices at the top of its proposed range. The company has applied to trade on Nasdaq under the ticker OURA.
Most of Oura’s Proceeds Will Cover Taxes
Oura also does not expect much of the IPO cash it receives to fund expansion. The company estimates net proceeds of about $532.6 million at the midpoint, with approximately $526.4 million earmarked for tax withholding and remittance obligations tied to employee restricted stock units that vest around the offering.
That would leave roughly $6.2 million from the IPO for purposes including technology development, working capital and other corporate expenses. Oura had about $372 million in cash at the end of June.
The IPO launch comes as Oura’s business continues to expand. Revenue reached $1.21 billion during the nine months ended June 30, including $974 million from hardware and $240.5 million from memberships.
Membership revenue more than doubled from the same period a year earlier and carried an 89% gross margin. Oura expects to finish its fiscal year ending September 30 with approximately 5.7 million paying members, nearly twice its total a year earlier.
Featured image credits: Wikimedia Commons
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