Blue Apron slashes its share price range as IPO nears, hinting at tough market
Blue Apron, the meal-kit delivery company, is slashing the price it expects to sell its shares for by as much as 40%, a sign that the company may be having trouble attracting investors.
The price chop Wednesday comes as competition to deliver groceries heats up. E-commerce giant Amazon.com Inc. is expected to shake up the industry after announcing plans to buy organic grocer Whole Foods earlier this month.
Blue Apron now expects its initial public offering to be from $10 to $11 per share, down from its forecast a week ago of $15 to $17.
The New York company and its many competitors, including HelloFresh and Plated, ship boxes to customers’ doorsteps with all the raw ingredients needed to make home-cooked meals. Blue Apron says it has 1 million customers.
