Corrected: UPDATE 2-Healthcare firm Guardian Pharmacy raises $112 mln in US IPO

Guardian Pharmacy Services

26/09/2024 02:41

(Corrects company valuation in first paragraph to about $852
million from $869.3 million)
       Sept 25 (Reuters) - Guardian Pharmacy, which provides
pharmacy services to long-term healthcare facilities, raised
$112 million in its U.S. initial public offering on Wednesday,
valuing the company at about $852 million.
    The Atlanta, Georgia-based firm priced its offering of 8
million shares of Class A common stock at $14 apiece, the
low-end of its targeted range of $14 to $16 each.  
    The U.S. market for fresh listings is seeing a recovery in
investor appetite, boosted by expectations of monetary policy
easing by the country's Federal Reserve and market optimism for
a soft landing. 
    Investors have been selective in backing companies, with
those burning cash as least favored, after a two-year IPO market
downturn that saw poor performance from a raft of recently
public high-profile firms. 
    Guardian Pharmacy, which was founded in 2004, offers a suite
of technology-enabled services designed to help residents of
long-term health care facilities. It was operating 50 pharmacies
serving roughly 174,000 residents, as of June 30. 
    For the full-year 2023, Guardian Pharmacy's revenue rose to
$1.05 billion, compared with $908.9 million a year earlier. 
    More than two-thirds of the company's annual revenue over
the past three years has been generated from residents in 
assisted living facilities, behavioral health facilities and
group homes, the company said in a regulatory filing. 
    Guardian Pharmacy said the remainder of the revenue is
generated from residents of skilled nursing facilities. 
    It turned a net profit of $37.7 million in 2023 versus $49.7
million a year earlier. 
    The company's shares will trade on the New York Stock
Exchange under the ticker symbol "GRDN."  
    Raymond James, Stephens and Truist Securities are the
underwriters of the offering. 

 (Reporting by Disha Mishra and Manya Saini in Bengaluru;
Editing by Alan Barona and Mrigank Dhaniwala)
 ((Disha.Mishra@thomsonreuters.com))