Blue Apron significantly lowers its valuation with slashed IPO pricing

Blue Apron — the next big consumer IPO for 2017 — isn’t looking as good as it was just a few weeks ago.

The company said in an updated filing with the Securities and Exchange Commission that it would cut its IPO price range target to between $10 and $11 per share, down from between $15 and $17 per share. Normally these price ranges move around, but this is a pretty significant haircut for a company that looked like it was having a better 2017 aside from heavy burn on marketing and growth.

If the company priced at $10 it would put its valuation just under $2 billion (including the option for underwriters to purchase additional shares, or the “greenshoe”). That was Blue Apron’s valuation in 2015 when it raised $135 million in a venture financing round. Sometimes this is a…

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