Convey Well being Options, which supplies know-how and analytics companies for well being plans like Medicare and Medicaid, introduced it could go non-public by a merger with its principal shareholder, TPG Capital.
Below the phrases of the deal, non-public fairness agency TPG will purchase all excellent shares of Convey widespread inventory not at present owned by TPG or sure administration and director shareholders for $10.50 per share in money, or about $1.1 billion. The merger is anticipated to shut within the second half of 2022.
“We consider this transaction supplies substantial worth, liquidity and certainty for our shareholders. Going ahead, as a personal firm and with TPG’s help, we may have the flexibility to proceed to make investments within the firm and higher serve our clients,” Stephen Farrell, CEO of Convey, mentioned in a press release.
THE LARGER TREND
Based in 2001, Convey was first acquired by TPG from New Mountain Capital in 2019. It then went public last year.
Convey’s inventory surged after information of the deal broke. It closed final Friday at $4.32 per share and wrapped up yesterday at $10.36.
ON THE RECORD
“Convey is a number one, built-in payer know-how platform that allows effectivity and improves medical and monetary outcomes throughout the healthcare system. We look ahead to persevering with our partnership in its subsequent chapter as a personal firm,” Katherine Wooden, associate at TPG, mentioned in a press release.
