Oura's $2.2B IPO Is Mostly an Exit for Forerunner Ventures

Smart ring maker Oura plans to raise as much as $2.2 billion in its IPO, but the company itself will keep only a sliver of that money. Existing shareholders are selling 36.5 million of the 50 million shares on offer — nearly two-thirds of the deal — and will pocket most of the proceeds, according to the company's updated IPO filing with the SEC.

Oura and its shareholders are offering shares at a range of $40 to $44 each. At the $42 midpoint, the deal would generate about $1.53 billion for selling shareholders and $567 million for the company, before fees and expenses.

The single biggest winner is Forerunner Ventures, Oura's second-largest shareholder. The venture firm plans to sell its entire 9.3% stake — roughly 28.7 million shares — for about $1.20 billion at the $42 midpoint, before underwriting fees and taxes. Forerunner's stock accounts for nearly 80% of all shares being sold by existing investors in the offering.

Forerunner first backed Oura in 2020, participating in the company's $28 million Series B round, according to PitchBook. That early bet is now returning roughly a billion dollars in gross proceeds.

A listing that raises almost nothing

Oura is not treating this IPO as a fundraising event. At the $42 midpoint, the company expects net proceeds of $532.6 million — and plans to spend about $526.4 million of that paying off accumulated tax obligations tied to employee share grants that vest when the company goes public.

That leaves roughly $6.2 million for general corporate purposes, per the filing.

The structure amounts to a flex by Oura. The company is giving its early backers a clean exit while covering its tax bill without turning to debt, as companies sometimes do, and without touching its own cash, which stood at about $372 million at the end of June.

Membership business carries the margins

The offering arrives as Oura grows quickly, with subscriptions becoming a larger slice of revenue. The membership business runs at an 89% gross margin. Membership revenue more than doubled to $240.5 million in the period, accounting for about 20% of company sales. Hardware still generated the majority of revenue at $974 million.

Oura now expects to finish the fiscal year ending September 30 with about 5.7 million paying members — nearly double the count from a year earlier.

A $14.1 billion ceiling

If the stock prices at the top of the proposed range, Oura would carry a market capitalization of $14.1 billion. That would mark another step up in a rapid valuation climb: the company was valued at roughly $11 billion in October 2025, when it raised $900 million in a round led by Fidelity with participation from ICONIQ, Whale Rock and Atreides. Less than a year before that, Oura raised $200 million at a $5.2 billion valuation. The company has raised about $2.06 billion to date, according to PitchBook.

For investors weighing the deal, the calculus is straightforward: Oura arrives public with fast membership growth, an 89%-margin subscription business and a $372 million cash cushion — but almost no new capital to deploy from the listing itself.