Norwalk health payments innovator files for $100M IPO

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Almost a decade after its launch and enlargement below Obamacare, an revolutionary insurance coverage firm with its roots in Norwalk goes public.

Texas-based Signify Well being has plans to boost $100 million promoting shares to commerce on the New York Inventory Change.

In 2019, Signify Well being spent $405 million to amass Treatment Companions, which was created eight years earlier in Norwalk by Oxford Well being Plans founder Steve Wiggins. His concept was to develop a new system for medical insurance, with premiums and funds pegged to “episodes of care” masking the span of a affected person’s remedy and restoration from an ailment.


In November, Connecticut launched a “Community of Distinction” program for some 220,000 state workers utilizing the Signify Well being platform, setting mounted costs for various procedures resembling being pregnant care, colonoscopies or knee replacements that could possibly be supplied by greater than 200 clinics, together with doctor teams affiliated with Griffin Hospital in Derby and John Dempsey Hospital in Farmington.

Wiggins stays a board director in the present day, with the mixed firm run by Signify Well being CEO Kyle Armbrester who earlier in his profession labored for the Massachusetts-based insurance coverage firm athenahealth.

In its IPO submitting with the U.S. Securities & Change Fee, Signify Well being listed its principal government workplace in Norwalk on the 800 Connecticut Ave. constructing that’s residence additionally to Reserving Holdings and its Priceline subsidiary. The corporate’s shares will commerce below the “SGFY” ticker image.

Signify Well being turns into the primary Connecticut firm to file for an IPO this 12 months, not together with “clean verify” shells fashioned by buyers to place IPO proceeds towards the acquisition of an working firm.

IPO filings hit their highest mark final 12 months since 2014 with 262 whole. Via the primary three weeks of January one other 34 corporations have filed to go public as tracked by Renaissance Capital, a Greenwich-based agency that tracks IPOs.

A spokesperson indicated the corporate has 100 workers in Norwalk of two,100 in all, and that it considers Norwalk as having a headquarters designation alongside Dallas the place nearly all of its staff are positioned. The corporate lists solely a handful of open jobs in the present day in Norwalk.

With the 2013 creation of the Medicare Bundled Fee for Care Enchancment program, the Inexpensive Care Act included the episodes-of-care mannequin as an eligible type of insurance coverage protection. Treatment Companions was certainly one of 4 early innovators nationally.

A number of rivals exist in the present day, together with insurers like Oxford Well being Plans guardian UnitedHealth by its naviHealth and OptumCare subsidiaries, and smaller doctor teams which have explored the idea.

Signify Well being was fashioned in 2017 with the merger of CenseoHealth and Advance Well being, with a platform to assist well being clinics consider sufferers within the residence. The corporate competes in the present day primarily with Matrix Medical Community and the in-house providers supplied by main insurers, together with OptumCare.

Signify Well being misplaced $15.2 million within the first 9 months of 2020 on $417 million in income, a 13 % improve from the identical interval a 12 months earlier.

Alex.Soule@scni.com; 203-842-2545; @casoulman



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