Permira converted part of its seven-year stake in Reformation into cash after the brand’s IPO priced at $15.00 per share, the bottom of the marketed $15–$17 range. Reformation sold 14,062,500 shares, raising $210.9m, with Yael Aflalo’s family trust holding ~20% and Permira retaining ~49%. Shares opened and closed near $15, valuing the company at ~$890.9m.

The IPO reflected cautious demand, as Reformation’s 2025 revenue hit $507.1m with 19% CAGR but a net loss widened to $12.1m. Gross margins were inflated by $900bps in tariff refunds. J.P. Morgan and Morgan Stanley led the underwriting.

Permira’s exit underscores challenges in valuing sustainability-focused consumer brands. Reformation’s direct-to-consumer model drives 90% of sales, with 1.14m active customers. Meanwhile, US consumer IPOs remain scarce, limiting pricing benchmarks.

The transaction highlights risks for sponsors holding legacy consumer assets amid shifting market priorities.