Sharecare (Nasdaq: SHCR) – the digital health company that owns the home-based care platform CareLinx – is set to be acquired.
An affiliate of Altaris Capital – a health care investment firm – is acquiring the company for $1.43 per share, which represents a premium of 85% on Sharecare’s closing price as of June 20. In total, the deal is worth about $518 million, according to MarketWatch.
Sharecare initially entered the Nasdaq at about $10 per share in November of 2020. Almost four years later, the company will again become private and no longer be listed on the public market.
“After embarking on a deliberate process to maximize stockholder value and best position Sharecare for continued growth and success, we carefully evaluated a variety of options,” Jeff Arnold, Sharecare’s founder and executive chairman, said in a statement. “Our Board of Directors determined that this transaction is in the best interests of Sharecare and its stockholders and, upon closing, will deliver significant, immediate, and certain value to our stockholders.”
Based in Atlanta, Sharecare is a digital health company that leverages a data-driven virtual health platform to manage patients’ health. It works with employers, health plans and government programs.
In October, Claritas Capital submitted an unsolicited bid for Sharecare “for cash consideration of between $1.35 and $1.80 per share.” Nothing came of the offer.
On its end, the New York City-based Altaris Capital is an investment firm exclusively focused on the health care industry. Its current investments are in medical device, pharmaceutical, insurance and health care tech companies.
Sharecare acquired CareLinx in 2021 for a purchase price of $65 million. CareLinx provides consumers access to both medical and non-medical home care services. Specifically, it has a network of over 450,000 caregivers and clinicians. It works directly with payers, providers, employers and consumers to deliver home-based care.
Last year, Arnold described the “explosive growth” that CareLinx had seen under Sharecare ownership. For instance, it added nearly 2 million more members to its platform in 2022 alone.
“We expanded our home care offering to deliver tailored care management programs and traditional care to high-risk populations, which results in improved experiences, member acquisition and retention, quality ratings and cost savings,” Arnold said at the time.
Though Sharecare’s stock price has faltered, the company has continuously touted CareLinx’s capabilities.
The Altaris-Sharecare transaction is expected to close in the back half of 2024.
“With Altaris as a partner, we are excited to continue executing on Sharecare’s mission with the benefit of their deep health care industry expertise, as well as increased capital and strategic and operational flexibility to continue providing industry-leading solutions to our customers across our three channels,” Arnold continued.
