Chicago online insurance broker GoHealth prices IPO above target range

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Chicago online insurance broker GoHealth prices IPO above target range

GoHealth Inc., the Chicago, Illinois-based American online insurance company, had issued a statement late on Tuesday saying that the online insurance broker had raised a stark sum of $913.5 billion at its US IPO (Initial Public Offering) adding the Chicago-based insurance broker had priced its shares above target range, suggesting a robust appetite for Initial Public Offerings in the Wall St.

alongside rising bets on a rapidly surging US online health insurance marketplace. As a matter of fact, the latest IPO of GoHealth Inc. had proffered the online insurance seller a valuation close to $6.6 billion, just 10 months after a private equity firm Centerbridge Partners LP’s investment had delivered the insurance company a market valuation of $1.5 billion.

GoHealth Inc. IPO vindicates rising demand of online insurances as US baby-boomers turn 65

Besides, following the GoHealth Inc. IPO, several Wall St. analysts were quoted saying that the initial offering which outpaced the company’s initial target, underscored a growing demand of online insurances amid the ongoing pandemic outbreak in the United States, while a rise in so-called baby-boomers in the United States’ gig-economy had also added to the US online insurance seller’s fortune.

Apart from that, according to the GoHealth Inc.’s Tuesday’s statement, the company had issued 43.4 million shares at $21 apiece, up from a target range of 39.5 million shares tagged between $18 to $20 per share.

Nonetheless, after rising as much as 22 per cent in midday trading at its Nasdaq debut on Wednesday, the shares’ prices of the Illinois-based online insurance broker had rounded off the day down by 7.33 per cent to $19.46.

However, the net revenue of GoHealth Inc. jumped 138.5 per cent to $539.5 million last year. Concomitantly, Goldman Sachs, Morgan Stanley and the Bank of America had been the leading underwriters for GoHealth Inc. IPO, the Illinois-based online insurance broker said.