Waterdrop, which operates a health insurance distribution and crowd-funding platform in China, announced terms for its IPO on Friday.
The Beijing, China-based company plans to raise $330 million by offering 30 million ADSs at a price range of $10 to $12. New and existing shareholders have indicated on $210 million of the IPO, including Boyu Capital ($100mm), HOPU Investments ($80mm), and Kevin Sunny Holding ($30mm). At the midpoint of the proposed range, Waterdrop would command a fully diluted market value of $4.6 billion.
Waterdrop states that it is the largest independent third-party insurance platform in China by life and health insurance first year premiums distributed in 2020. As of December 31, 2020, the company collaborated with 62 insurance carriers to offer 200 health and life insurance products, and over 1.7 million patients received donations through the company's Waterdrop Medical Crowdfunding.
Waterdrop was founded in 2016 and booked $468 million in sales for the 12 months ended December 31, 2020. It plans to list on the NYSE under the symbol WDH. It had been on our Private Company Watchlist since August 2020. Goldman Sachs (Asia), Morgan Stanley, BofA Securities, ABC International Securities, China Merchants Securities, China Renaissance, CITIC CLSA and Haitong International are the joint bookrunners on the deal.
