Jessica Alba’s Honest Company To Go Public? ‘Sin City’ Actress’s Eco-Friendly Baby Product Start-Up Raises $70 Million At Fundraiser, Now Valued At Almost $1 Billion
Jessica Alba's company is worth how much?
The "Sin City: A Dame To Kill For" actress recently raised $70 million at a fundraiser for her start-up, Honest Company, putting the business's estimated value at almost $1 billion.
And with news the rising revenue, the eco-friendly baby product brand may just go public.
"Grateful and Proud!" gushed Alba on her official Facebook page.
The actress was responding to recent reports that Honest Company, the start-up that she launched with Christopher Gavigan, Brian Lee and Sean Kane, had just closed a $70 million financing round. Funding came from Wellington Management Company LLP, as well as Dragoneer Investment Group and another public market institutional investor.
According to Business Wire, the new funds add to the $52 million raised since the initial launch of the company in 2012.
The start-up is expected to have annual revenue of $150 million this year, more than three times that of last year. The Dow Jones VentureWire claims that the company has plans to expand to China as they determine if IPO status is in the organization's future.
Honest products are reportedly sold at outlets like Whole Foods, Nordstrom, Costco, and Target. However, most of the company's sales are made online.
"The Honest Company provides families everywhere with safe, convenient and affordable family essentials. This funding will enable us to expand our current category offerings and availability, and develop products across many new and exciting categories," said Brian Lee, The Honest Company Co-Founder and CEO in a press release.
Alba, mother of daughters Honor, 6, and Haven, 3, told the Associated Press that she first came up for the idea for the brand when she discovered that many products that claimed to be safe for children actually weren't.
"I would buy what I thought was like an eco-brand and pay out the wazoo for it and then find out that it's made with the same ingredients as any other brand, but the packaging is a little more biodegradable and you're like 'But I care about the product touching my kid. Is that OK?"
Some have attributed the success of Honest Company to Alba's celebrity status. The Wall Street Journal reports that Jeremy Liew, a partner with early investor Lightspeed Venture Partners, said, "She is an international star. We're starting to see a lot of demand from her fans around the world."
According to Alba, the Honest team continue to have their sights set high. "We dream big at The Honest Company," she affirmed, "and continuously strive to make the world healthier and more sustainable - today and in the future."