Birkenstock shares slid more than 12% in its U.S. public market debut Wednesday.

The footwear retailer began trading at $41 after the company priced its IPO at $46 a share. That offering raised about $1.48 billion. Birkenstock and its private equity owner, L Catterton — which acquired a majority stake in the footwear brand in 2021 and will control a majority of the combined voting power of its shares following the IPO — offered about 32 million shares on Tuesday.

The company had a market value of $7.55 billion after closing at $40.20 per share on Wednesday.

Birkenstock, which was founded in 1774, has seen revenues increase 21% year over year to 1.12 billion euros (about $1.18 billion as of press time) for the first nine months of the year, according to a securities filing. At the same time, the company’s net profit decreased about 20% from 129.1 million euros to 103.3 million euros.

Birkenstock’s public market debut comes at a time when several disruptor brands are seeing their stocks sharply decline from their public market debuts. Brands like Warby Parker, Peloton and Allbirds, which entered the public markets amid a wave of IPOs, have seen their share prices plummet more recently.