Signify Health Announces Closing of Initial Public Offering and Full Exercise of Underwriters’ Option to Purchase Additional Shares

Rhea-AI Summary

Signify Health (NYSE: SGFY) has successfully closed its initial public offering of 27,025,000 shares of Class A common stock at $24.00 each, with net proceeds of approximately $609.7 million. The offering included the underwriters’ option to purchase an additional 3,525,000 shares. The funds will be allocated to fees, general corporate purposes, and potential acquisitions to support expansion. This marks a significant step for Signify Health, which began trading on February 11, 2021. Major banks involved include Goldman Sachs, J.P. Morgan, Barclays, and Deutsche Bank.

Positive

• Raised approximately $609.7 million in net proceeds for growth.
• Funds allocated for potential acquisitions to enhance business capabilities.
• Successful closure of the IPO with full exercise of underwriters' option.

Negative

• None.

Signify Health, Inc. (NYSE: SGFY), a leading value-based healthcare platform that leverages advanced analytics, technology and nationwide healthcare provider networks, today announced the closing of its initial public offering of 27,025,000 shares of its Class A common stock at a price to the public of $24.00 per share. The number of shares offered and sold by Signify Health included the exercise in full of the underwriters’ option to purchase up to an additional 3,525,000 shares of Class A common stock from Signify Health.

Signify Health’s Class A common stock began trading on the New York Stock Exchange (NYSE) on February 11, 2021, under the ticker symbol SGFY.

Signify Health received net proceeds of approximately $609.7 million after deducting underwriting discounts and commissions and before deducting offering expenses. The net proceeds from the initial public offering will be used to pay fees and expenses in connection with the offering and the related reorganization transactions and for general corporate purposes, including working capital and potential acquisitions of, or investments in, other businesses or technologies that the Company believes will complement the current business and expansion efforts.

Goldman Sachs & Co. LLC, J.P. Morgan, Barclays and Deutsche Bank Securities acted as lead bookrunner agents for the offering. BofA Securities, UBS Investment Bank, Baird, Piper Sandler and William Blair acted as additional bookrunners.

A registration statement relating to the sale of these securities was filed with and declared effective by the Securities and Exchange Commission on February 10, 2021. The offering of these securities was made only by means of a prospectus. Copies of the final prospectus related to this offering may be obtained from: Goldman Sachs & Co. LLC, Attention: Prospectus Department, 200 West Street, New York, New York 10282, telephone: 1-866-471-2526, facsimile: 212-902-9316 or by emailing prospectus-ny@ny.email.gs.com; J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717, collect telephone: 1-212-834-4533, or by emailing at prospectus-eq_fi@jpmchase.com; Barclays Capital Inc., c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 or by email at barclaysprospectus@broadridge.com or telephone at 1-888-603-5847; or, Deutsche Bank Securities Inc., Attention: Prospectus Group, 60 Wall Street, New York, New York 10005, or by emailing at prospectus.CPDG@db.com or by calling at (800) 503-4611.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Signify Health

Signify Health is a leading healthcare platform that leverages advanced analytics, technology, and nationwide healthcare provider networks to create and power value-based payment programs. Our mission is to transform how care is paid for and delivered so that people can enjoy more healthy, happy days at home. Our solutions support value-based payment programs by aligning financial incentives around outcomes, providing tools to health plans and healthcare organizations designed to assess and manage risk and identify actionable opportunities for improved patient outcomes, coordination and cost-savings. Through our platform, we coordinate what we believe is a holistic suite of clinical, social, and behavioral services to address an individual’s healthcare needs and prevent adverse events that drive excess cost, all while shifting services towards the home.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210216006170/en/

FAQ

What was the price per share for the SGFY IPO?

The price per share for Signify Health's IPO was $24.00.

How many shares were offered in Signify Health's IPO?

Signify Health offered a total of 27,025,000 shares in its IPO.

What are the intended uses of Signify Health's IPO proceeds?

The proceeds will be used for fees, general corporate purposes, and potential acquisitions.

Who were the lead underwriters for the SGFY IPO?

Goldman Sachs, J.P. Morgan, Barclays, and Deutsche Bank acted as lead underwriters.

When did SGFY start trading on the NYSE?

Signify Health began trading on the New York Stock Exchange on February 11, 2021.