UpHealth, Inc. - UPH STOCK NEWS

UpHealth, Inc. (NYSE: UPH), a global digital health company, announced a definitive agreement with a healthcare-focused institutional investor for a private placement of 3 million shares of common stock at $1.50 per share. The offering will generate approximately $4.5 million in gross proceeds. Included in the deal are series A and B warrants for purchasing up to an additional 6 million shares at an exercise price of $2.04. The closing is anticipated around March 13, 2023, subject to standard conditions. UpHealth plans to file a registration statement with the SEC for the resale of these shares within 30 days post-closing.

UpHealth, Inc. (NYSE: UPH) reported fourth quarter revenue of $40.5 million, a 20% increase year-over-year, with adjusted EBITDA of $1.9 million. Full-year revenue rose 28% to $158.8 million, with a gross margin of 44%. The company announced the strategic sale of Innovations Group, Inc., expected to generate $56 million in liquidity. UpHealth's operating loss improved to $13.4 million, significantly reduced from the previous year due to the absence of goodwill impairment charges. For 2023, the company projects revenue between $127 million and $135 million, reflecting a 5% to 12% growth over 2022 pro forma revenue.

UpHealth, Inc. (NYSE: UPH) will announce its financial results for the fourth quarter and full year ended December 31, 2022, on March 2, 2023, before market open. A conference call to discuss these results will follow at 8:30 a.m. Eastern Time, accessible via the company's Investor Relations website or by phone. UpHealth provides technology platforms and services aimed at enhancing healthcare delivery and management globally. Its solutions improve access to care, coordination, and patient outcomes while lowering costs for clients, including health plans and community organizations.

UpHealth, Inc. (NYSE: UPH) announced a definitive agreement to divest Innovations Group Inc. and its subsidiary, MedQuest Pharmacy, for approximately $56 million. This strategic divestiture emphasizes UpHealth's commitment to enhancing its Telehealth, Integrated Care, and Behavioral Health sectors. CEO Sam Meckey stated that the agreement is a significant milestone, allowing the company to focus on high-growth areas. Proceeds from the sale will be used to invest in core operations and reduce secured debt. The transaction is expected to close in May 2023, pending customary conditions.

UpHealth reported third-quarter 2022 revenues of $38.7 million, down from $45.2 million in Q3 2021, attributed to the deconsolidation of Glocal. Gross margin improved to 48%. The company faced an operating loss of $120 million, influenced by $106.1 million in impairment charges. Year-to-date revenues reached $118.3 million, a 32% increase year-over-year. Following ongoing legal disputes, UpHealth has deconsolidated Glocal while successfully raising $67.5 million through convertible debt financing.

Timothy Wilde has joined UpHealth as Chief Technology Officer, effective immediately. He brings 30 years of experience from roles at EXL Health, Zelis Health Care, and Luxottica Group. Wilde is expected to enhance UpHealth's growth by leveraging his expertise in healthcare technology and data analytics. Under his leadership at EXL, digital health revenue significantly increased. UpHealth aims to use its AI Operating System to improve healthcare delivery and outcomes for patients, positioning itself for growth amidst a transformative phase in the healthcare sector.

UpHealth, Inc. (NYSE: UPH) announced a reverse stock split effective at 4:01 p.m. ET on December 8, 2022. This decision consolidates ten shares of common stock into one, adjusting the outstanding warrants accordingly. The warrant exercise price will rise from $11.50 to $115.00 per share. Trading will begin on a split-adjusted basis on December 9, 2022. For more details, refer to the definitive proxy statement filed with the SEC on November 15, 2022.

UpHealth, Inc. (NYSE: UPH) announced a 10:1 reverse stock split approved by its Board of Directors, effective December 8, 2022. This action aims to raise the per-share market price to meet the NYSE's $1.00 minimum average closing price requirement for listing compliance. The number of outstanding shares will decrease from approximately 150 million to 15 million. Shareholders will not need to take any action; adjustments will be made for equity awards and warrants. The split won't affect authorized shares. Further details are available in the Company’s proxy statement.

UpHealth, Inc. (NYSE: UPH) held its first annual stockholder meeting on December 5, 2022, where all resolutions were approved. Key outcomes include the election of three Class I directors, a reverse stock split to meet NYSE listing requirements, and the ratification of BPM LLP as the new independent auditor. Chairman Dr. Avi S. Katz highlighted the enhanced quality of the board, now comprising nine members, seven of whom are independent. Notable new directors include Mark Guinan and Luis Machuca, both with extensive healthcare and finance experience.