The Bob’s Discount Furniture logo is seen above the entrance to its store at Paxton Town Center near Harrisburg.
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Bob’s Discount Furniture will begin trading on the New York Stock Exchange on Thursday after pricing its IPO at $17 per share.
This price was within Bob’s expected range of $17 to $19 per share.
The Manchester, Conn.-based company, founded in 1991, now has 206 showrooms in 26 states, as of Sept. 28, according to its S-1 filing. It plans to more than double that number of stores to more than 500 locations by 2035, the filing said.
Bob’s is known for selling sofas, rugs, dining room tables and other furniture at low prices. The average order value is about $1,400 per transaction, excluding sales at its retail outlets, according to its S-1 filing. The retailer estimates that its prices are on average about 10% lower than the lowest prices promoted by its value-oriented competitors, or about 20% to 25% lower than their list prices.
To keep prices low, the company said it relies on “a careful merchandising strategy, long-standing sourcing relationships and an efficient supply chain,” according to the filing. It offers about a third fewer items than its value-oriented competitors, but orders in larger quantities, the filing says.
It also tried to stand out from other furniture retailers with faster deliveries. Instead of customers waiting weeks or months, most purchases can be delivered in as little as three days, the company said in the filing.
The stock will trade on the New York Stock Exchange under the symbol BOBS.