Following a seasonal lull in late February, the IPO market returns with the much-anticipated HCA (HCA) offering. The largest non-governmental hospital operator in the US, HCA is expected to raise $3.5 billion, eclipsing recent large deals from Kinder Morgan (KMI) and Nielsen (NLSN) to become the largest-ever private equity-backed IPO on a US exchange.
HCA operates 158 general acute care hospitals and 106 freestanding surgery centers in 20 US states, mostly in the South and Southwest, and the UK. The company, which generated revenue of $31 billion last year, accounts for roughly 4% of US hospital services. HCA was taken private for $33 billion in 2006 by Bain, KKR and Merrill Lynch, who are now selling 29% of the IPO shares. The 124 million share IPO is expected to price between $27 and $30 per share. The stock is expected to list on the NYSE under the ticker "HCA"; BofA Merrill Lynch, Citi and JPMorgan are the bookrunners on the offering.
Read our full IPO Commentary.
