Sharecare goes public after completing $571m merger with Falcon Capital
23:49, 1 July 2021
Digital healthcare firm Sharecare will begin trading on the Nasdaq on Friday (2 July) after completing a merger Thursday (1 July) with Falcon Capital Acquisition (FCAC).
Under the terms of the deal, Sharecare receives $571m in gross proceeds intended for investment in future growth. Based in Atlanta, Sharecare operates a digital platform that enables people to connect with doctors, insurance companies, and employer benefits providers with an all-in-one app.
The company’s management team will remain in place. Reports have pegged the value of the combined company at $3.9bn.
Jeff Arnold, founder and CEO of Sharecare, said in a news release that the cash infusion will fund continued growth through product development, further commercialisation, and mergers and acquisitions.
“We look forward to this next phase as a public company and are laser-focused on simplifying the overall health experience, improving outcomes, and reducing cost on behalf of individuals, communities, and organisations everywhere,” he added.
Sharecare will trade under the ticker symbol SHCR. Proceeds of the merger include private-investment-in-public-equity investments (PIPEs) from funds managed by Koch Strategic Platforms, Baron Capital Group, Eldridge, Woodline Partners LP and Digital Alpha.
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Anthem, an Indianapolis-based insurance major, previously made a direct investment of an undisclosed amount in Sharecare, and the companies are partnering “to build affordable, high-quality, whole-health advocacy solutions.”
FCAC is a special purpose acquisition company (SPAC) headed by Alan Mnuchin, the brother of former US Treasury Secretary Steve Mnuchin. Alan Mnuchin previously served as a vice president of Goldman Sachs and founded New York-based investment bank AGM Partners.
In conjunction with the merger, FCAC is slated to be delisted from the Nasdaq on Friday.