Nordic Capital and Insight Partners agreed to buy health-care software company Inovalon Holdings Inc. in a deal valuing the company at $6.4 billion.
Inovalon investors will get $41 per share in cash, the company said in a statement on Thursday, confirming an earlier Bloomberg News report. Inovalon Chief Executive Officer Keith Dunleavy, 22C Capital and other stockholders also joined the consortium. The deal is subject to approval from investors and U.S. antitrust regulators and may close later this year or in early 2022.
Shares of Inovalon jumped as much as 8.8% in U.S. trading Thursday. They were up 8.3% to $40.30 at 10:06 a.m. in New York, valuing the company at $6.3 billion and putting it on track to close at a record high.
A sale would be the latest take-private transaction in a busy year for dealmaking. New York-based growth equity firm Insight Partners, which is known for investing in private technology companies, is becoming more active in acquisitions of listed companies. That included participating in the buyout of CoreLogic Inc. this year. It is also a backer of health-care technology companies such as Eden Health and Clarify Health, according to its website.
Source: Bloomberg
By Liana Baker and Katie Roof
