Oura smart ring IPO could raise $3 billion at $16 billion valuation

Oura Health Oy is planning to raise up to $3 billion in a U.S. IPO that could set its valuation at over $16 billion, according to Bloomberg. The offering may occur as early as September, with existing shareholders likely selling a large share of their stock. A $16 billion valuation would mark a significant jump from the $11 billion valuation assigned to Oura in September, when the company raised $875 million in a Series E round.

Goldman Sachs, Morgan Stanley, JPMorgan Chase, Allen & Co., and Jefferies Financial Group are leading the IPO, which was filed in May with the Securities and Exchange Commission. Oura's revenue hit $500 million in 2024 and is expected to reach around $1.5 billion by 2026, a threefold increase. The company also projects over five million paid memberships this quarter, and cumulative ring sales have surpassed 5.5 million units.

Founded in 2013 and based in San Francisco and Finland, Oura creates smart rings that monitor health metrics such as sleep, stress, and recovery. An IPO would put Oura in the company of other recent public debuts, as companies rush to go public before the November midterm elections. The push for an IPO comes amid competitive and legal challenges for Oura.

Samsung released its own ring two years ago, and fitness band maker Whoop has a valuation of $10.1 billion. Legal action is also looming, as a proposed class-action lawsuit claims Oura misled buyers about the accuracy of sleep tracking, arguing that the rings cannot provide discrete sleep stage data through electrode-based clinical testing.

Oura denies the allegations, stating that its sleep-staging technology has been validated and compared favorably to polysomnography in multiple independent studies.