Signify Health, which provides a value-based billing platform for in-home and bundled health services, announced terms for its IPO on Wednesday.
The Norwalk, CT-based company plans to raise $423 million by offering 23.5 million shares at a price range of $17 to $19. At the midpoint of the proposed range, Signify Health would command a fully diluted market value of $4.1 billion.
Signify Health is a leading healthcare platform that leverages analytics, technology, and nationwide healthcare provider networks to create and power value-based payment programs. Its customers include health plans, governments, employers, health systems, and physician groups. Its episode payment platform managed $6.1 billion of spend under the Medicare Bundled Payment for Care Improvement Advanced (BPCI-A) program in 2019, and the BPCI-A episodes it managed initiated in the 4Q19 resulted in approximately 15% greater discharges home from acute-care facilities and approximately 10% lower readmissions. Its mobile network of providers entered over 1 million unique homes to evaluate individuals in Medicare Advantage and other managed care plans in 2019.
Signify Health was founded in 2017 and booked $550 million in revenue for the 12 months ended September 30, 2020. It plans to list on the NYSE under the symbol SGFY. Goldman Sachs, J.P. Morgan, Barclays, Deutsche Bank, BofA Securities, UBS Investment Bank, Baird, Piper Sandler and William Blair are the joint bookrunners on the deal. It is expected to price during the week of February 8, 2021.
The article Healthcare services platform Signify Health sets terms for $423 million IPO originally appeared on IPO investment manager Renaissance Capital's web site renaissancecapital.com.
Investment Disclosure: The information and opinions expressed herein were prepared by Renaissance Capital's research analysts and do not constitute an offer to buy or sell any security. Renaissance Capital's Renaissance IPO ETF (symbol: IPO), Renaissance International ETF (symbol: IPOS), or separately managed institutional accounts may have investments in securities of companies mentioned.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
