Insurance Exchange Vendor Files to Go Public
Extend Health Inc., which operates a private Web-based health insurance exchange enabling employers and consumers to compare and purchase Medicare and commercial coverage, intends to go public with a $75 million initial offering of stock.
The San Mateo, Calif.-based vendor has filed a registration statement with the Securities and Exchange Commission. The number of shares being offered and a price range has not yet been determined. Extend Health covers 300,000 lives and has contracts with more than 30 Fortune 500 companies, including Caterpillar, General Motors, Honeywell and Whirlpool.
Extend Health had revenue of $51.1 million in fiscal 2011, compared with $12.4 million in fiscal 2009. The company lost $14.4 million in 2009 but had net income totaling $23.4 million during the two subsequent years, according to the registration statement. More information is available at extendhealth.com.