Pattern stitches together US$300m Nasdaq IPO
Pattern Group has priced a US$300m Nasdaq IPO that introduced a new business model to US investors.
Goldman Sachs and JP Morgan priced 21.4m shares at the midpoint of US$14, after guiding pricing toward the upper-half of the US$13–$15 marketing range early on Thursday.
The offering was an even split of 10.7m primary shares and 10.7m secondary shares from existing shareholders led by co-founders David Wright and Melanie Alder.
The e-commerce expeditor's business model of selling goods online on behalf of others is a novel concept in the public markets – a derivative play on Amazon, where Pattern sells roughly 90% of its wares.
The IPO values Pattern Group at an enterprise value of US$2.3bn, a mid-teens multiple of 2026 Ebitda.
That compares with a high-30/low-40s multiple for data analytics providers such as Klaviyo and AppLovin, and a 12.5 multiple for Amazon. There was said to be no perfect comp.
Pattern Group buys products from more than 200 branded consumer goods partners and resells them through online retail platforms. The company is the largest third-party seller of goods on Amazon in the US.
In the 12 months ending June 30, it generated adjusted Ebitda of US$117.7m on revenues of US$2.1bn. Those results included growing revenues in H1 2025 by 35.3% to US$1.14bn.
Pattern Group is using US$81.3m of the money raised from the IPO to settle tax obligations associated with employee restricted stock units, and the rest to pad out its cash reserves to roughly US$270m.
Pattern Group uses over 43 trillion datapoints to help optimise speed, cost and convenience while increasing brand value for its product suppliers. The company has over 29 patents (issued and pending) on its proprietary datasets and will continue to make new investments in AI automation as a public company.