Bright Health, the Bloomington-based insurance company that has raised $1.5 billion through private equity, could become Minnesota's next public company.
The insurer on Wednesday filed a registration statement with the Securities and Exchange Commission that was scant on the offering details. The number and percentage shares to be offered was not disclosed, nor was a proposed price per share disclosed. The proposed ticker symbol would be BHG.
Bright Health's equity financing since 2016 includes $500 million in September 2020 from big-name investors such as Tiger Global Management, T. Rowe Price Associates and Blackstone.
A group of former UnitedHealth Group managers formed Bright Health in 2015 to concentrate on the market through the Affordable Care Act for individual plans. It has since expanded its offerings, including Medicare Advantage plans.
The registration filing also did not disclose the amount the company wants to raise, but a clause said Bright Health could extend the date due on a credit agreement if the offering raised more than $1 billion.
A billion-dollar IPO would be the largest ever by a Minnesota company, eclipsing the $468 million raised by Jamf Holding Corp. in 2020 and the $630 million raised by Bloomington-based Ceridian HCM Holding in 2018 from its IPO, an overallotment and a concurrent private placement of stock.
Bright Health would use proceeds of the offering to repay those earlier credit agreements and for additional acquisitions. Earlier this month, it acquired local telehealth company, Zipnosis, and in January agreed to acquire Central Health Plan of California.
In 2020, Bright Health operated in 99 markets in 14 states, had more than $1.2 billion in revenue and a net loss of $264 million. It has 2,056 employees.
