Jessica Alba's Honest Company has announced it was aiming for a valuation of more than $1.5 billion in its initial public offering in the U.S., Fox News reported Tuesday.
The Honest Company set the terms of its IPO on Monday, offering nearly 26 million shares expected to be priced between $14 and $17 a share.
The consumer goods company and its shareholders target to raise almost $440 million in the IPO that could give Alba a stake worth around $96 million. JP Morgan, Morgan Stanley and Jeffries are leading the offering.
The Los Angeles-based company, which seeks to list on the Nasdaq under the ticker "HNST," touts its beauty and baby products as a safer alternative to those that use synthetic chemicals.
The company said it plans to use the proceeds from the IPO to fund marketing and direct-to-consumer advertising, including new products and acquire complementary businesses, Reuters reported.
Honest Co's move to enter the fast-growing IPO market comes as the company plans to boost its online business and strengthen its presence in overseas markets.
Honest has faced some legal issues along the way. In 2016, a lawsuit accused the company of using products that contained a harsh chemical, according to CNBC.
The company then agreed on a $7.35 million settlement for falsely labelling ingredients in some products as natural or chemical- free.
Alba, who has been wearing the same white sneakers for years, according to People, is known for her roles in the movie "Fantastic Four" and television series "Dark Angel". Her product line is sold at thousands of retail stores including Costco, Target and Amazon, among others.
