Signify Health, which provides a value-based billing platform for in-home and bundled health services, raised the proposed deal size for its upcoming IPO on Wednesday.
The Norwalk, CT-based company now plans to raise $482 million by offering 23.5 million shares at a price range of $20 to $21. The company had previously filed to offer 23.5 million shares at a range of $17 to $19. At the midpoint of the revised range, Signify Health will raise 14% more in proceeds than previously anticipated.
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 sales 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.
