NEW YORK:
New York based Insurtech major Lemonade, Inc. (“Lemonade”) today announced that it has filed a registration statement on Form S-1 with the U.S. Securities and Exchange Commission relating to the proposed initial public offering of its common stock in New York Stock Exchange.
Sources point out the size of te IPO by the digital seller of home and rental insurance would be around $100 million..
Lemonade offers homeowners and renters insurance in the United States, and contents and liability insurance in Germany and the Netherlands, through its full-stack insurance carriers. Powered by artificial intelligence and behavioral economics, Lemonade set out to replace brokers and bureaucracy with bots and machine learning, aiming for zero paperwork and instant everything.
Lemonade is currently available for most of the United States, Germany and the Netherlands, and continues to expand globally.
The number of shares to be offered and the price range for the proposed offering have not yet been determined. The offering is subject to market conditions, and there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering, said a press release by Lemonade.
A Certified B-Corp, Lemonade gives excess premiums to nonprofits selected by its community during its annual Giveback.
While Lemonade remains unprofitable, its gross written premium grew from $9 million in 2017 to $47 million a year later and to $116 million in 2019. The company said its gross written premium reached $38 million in the first three months of 2020.
Lemonade’s net losses were just under $53 million in 2018 and $108.5 million in 2019, as the company pursued both national and international expansion. It booked $36.5 million in losses during the 2020 first quarter compared to a $21.6 million loss in the 2019 first quarter, the company said.