YogaWorks, Los Angeles, is delisting from the NASDAQ Global Market (YOGA), ceasing all public trading and will again privatize its business, the company announced July 12. The change will go into effect July 22.
“[T]he Company has determined it to be in its best interests to proceed with plans to remove its common stock from listing on The NASDAQ Stock Market,” company executives stated in a media release. “The decision was based on the company’s current financial situation, taking into account the fact that the company’s common stock is held by relatively few holders and there is limited trading of the company’s common stock on NASDAQ.”
YogaWorks, the only publicly traded yoga studio chain of its kind, has struggled financially since launching its IPO in August 2017—two weeks after announcing that IPO would be postponed due to market conditions. Its shares began trading at $5.50 on Aug. 11, 2017, and have since steadily declined to 65 cents (closing price via NASDAQ on July 14, 2019). Its initial IPO filing indicated that company executives had anticipated a trading range of $12 to $14 per share.
In March, YogaWorks reported a 9.3 percent increase in its 2018 revenue. However, it also reported $14.4 million in adjusted net losses and a loss of $6.3 million in adjusted EBITDA.
For the full year of 2019, the company is targeting net revenue of at least $60 million with an adjusted EBITDA loss of no more than $6 million.
YogaWorks currently operates 68 studios across nine markets including Los Angeles, New York City, Boston, Houston, Atlanta and Washington, DC.
The company ranked No. 27 on Club Industry's Top 100 Health Clubs of 2018 list with $54.5 million in 2017 revenue.