Smart ring maker Oura delays US IPO as autumn market jitters deepen
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The US IPO market has hit a bump after a strong start to the year.
PHOTO: REUTERS
- Oura, the smart ring maker, has delayed its US IPO due to market uncertainty and rising interest rates, affecting investor appetite during the traditionally strong fall listing period.
- The company planned to raise US$2.2 billion with a valuation of US$15.62 billion but postponed amid cautious demand and volatile market conditions.
- Oura remains profitable with strong product demand, forecasting 90% revenue growth in 2026, while AI lab Anthropic is expected to lead upcoming IPOs after US midterm elections.
AI generated
NEW YORK – Oura has delayed its US initial public offering, the smart ring maker said on Sept 29, citing market uncertainty and denting hopes for a pickup in the traditionally strong fall listings window.
It joins a growing list of prospective issuers pulling back as surging bond yields and higher interest rates weigh on markets.
The US IPO market has hit a bump after a strong start to the year, as investors grapple with concerns that the AI trade has run its course, the Federal Reserve’s interest-rate hike and geopolitical turmoil.
The consumer technology company and some of its existing investors had marketed 50 million shares in the offering priced in an indicated range of US$40 (S$51) to US$44 apiece.
At the top of the indicated range, Oura would have raised US$2.2 billion at a fully diluted valuation of US$15.62 billion. It was expected to price the IPO later in the day and begin trading on Nasdaq on Sept 30.
The company, founded more than a decade ago in Finland, reached a valuation of about US$11 billion in a late-stage funding round in 2025.
IPOs typically require stable investor appetite and supportive market conditions for companies to achieve their desired valuations.
“Higher rates are clearly making investors more selective, particularly on growth valuations. Still, I wouldn’t say the IPO window is closed, especially with Anthropic still pushing ahead with what could be one of the largest IPOs ever,” Ipox research associate Lukas Muhlbauer told Reuters.
Timing the market
The offering would have been the first sizeable fall market US IPO since the traditional summer lull, with analysts viewing Oura’s debut as a key test of investor appetite for high-growth companies.
Earlier in September, nuclear services company Holtec suspended its planned US IPO amid increased scrutiny of vast capital being deployed in sectors related to AI.
“We aim to deliver an extraordinary IPO for our employees and investors and we have the luxury of choosing our moment. In the meantime, we will execute against the opportunities ahead,” Oura chief executive Tom Hale said in a statement.
The company said it was profitable and forecast revenue to jump 90% in fiscal 2026 from a year earlier.
“Reports indicated that the offering was around four times oversubscribed, which is a decent level of demand, but not necessarily overwhelming for a well-known consumer brand,” Muehlbauer said.
Oura did not immediately respond to Reuters’ request for further details on the postponement.
Meanwhile, AI lab Anthropic is expected to headline the second half of the year for the IPO market, with Reuters reporting, citing sources, that it could debut after the US midterm elections in November.
Oura has helped popularise smart rings, which track metrics such as heart health, activity and sleep.
It added that the response to the launch of its flagship Oura Ring 5 has been “exceptionally strong”, bringing the number of paid members on its platform to 5.7 million.
Smart rings are carving out a niche between traditional fitness trackers and smartwatches, offering personalised health insights in a smaller, screen-free form that can be worn around the clock and typically has longer battery life. REUTERS