Shares of the medical scrubs retailer Figs Inc (NYSE: FIGS) have soared 36% after its market debut on Thursday, valuing the Santa Monica-based company at $4.8 billion. By selling 26.4 million shares at $22, Figs was able to raise an additional $580 million.
Heather Hasson and Trina Spear co-founded the company in 2013 as they saw potential in modernizing the v-shaped, typically ill-fitting scrubs of medical personnel. Their brand soon expanded into other product lines including fleece jackets, underwear and even sneakers via a collaboration with New Balance.
Revenues of the retailer have doubled to $263 million within the last year, reflecting on a remarkable growth story. Even more impressively are its profit figures that have ascended to $49.7 million from only $112.000 in 2019.
Moreover does this IPO have the distinct feature of being the first one to be available on the trading app Robinhood. Figs claimed it partnered with Robinhood so that healthcare workers could also participate in the company’s ownership from the beginning.
Hasson also clarified that the company’s unusual name stems from her favourite fruit. “I thought about really successful companies,” she said. “Lululemon - fruit, Apple - fruit.”