SmileDirectClub has priced its IPO at $23 per share, which is more than expected, ahead of its Thursday debut. The company originally expected to price its shares between $19 and $22.
The stock opened at $20.55 per share, 11% lower than expected.
SmileDirectClub started five years ago, selling “tight-fitting clear aligners” that act as braces. The product costs $1,895, but it also offers monthly payments for $85 a month over 24 months, which, with a deposit, brings the total price of the aligner to $2,290.
The company is now valued at nearly $9 billion, according to a company press release.
The company’s stock is expected to start trading Thursday on the Nasdaq under the symbol “SDC.” Executives from the company will ring the Nasdaq’s opening bell.
According to a regulatory filing from August, revenues have sharply jumped over the past few years. SmileDirectClub pulled in $423 million in total revenue last year — an increase of 190% from 2017.
SmileDirectClub plans to use the money it’s raising for international expansion, developing new dental products and opening new so-called SmileShops. The company said those are a “key driver in expanding access to care.” So far, the company 300 stores in four countries and expect to open roughly 80 more this year.
Its IPO joins a sea of dreariness. WeWork is reportedly weighing whether to cut its targeted IPO valuation drastically, Uber ( and )Lyft ( stocks have recently hit all-time lows. )