The Honest brand has grown significantly in popularity in 2020 thanks to increased demand for baby products and sanitizing wipes.
Honest, founded by actress Jessica Alba, has filed for its first public sale of shares. The brand appeared on the market in 2011, under which customers are offered various household goods. The emphasis is on the ethical processes of production and consumption, which is also emphasized by the name of the company Honest - "Honest".
An application for an initial public sale of shares in the United States was filed on April 9. And its placement means that the company has entered a new stage of development. Quite successful even before the pandemic, the Honest brand has become one of the manufacturers that received a boost to growth during the crisis.
The thing is that among the brand's products, a significant share is occupied by children's products, including baby care, as well as various lotions and skin products, the need for which has grown during the pandemic. But the most popular product category, which ensured the growth of the brand's popularity, was various disinfectants. And diapers and disinfectant wipes have become the most popular in the brand's assortment, only these categories of goods account for about two-thirds of sales.
Honest's profit for 2020, according to official reports, was about $300 million. Which means an increase of about 28%. Following the results of the past 2020 financial year, the company decided to place shares for public sale. The shares are scheduled to be listed on the Nasdaq under the ticker "HNST".
The raised funds are planned to be used to strengthen the online business, and the company also intends to expand sales through third-party sellers. In the near future, Honest, which is popular in the US, plans to expand to European countries, as well as entering the promising market of the Asian region.