Inovalon, a Bowie, Md.-based clinical analytics firm, raised $600 million this week in its initial public offering (IPO) after pricing its 22.2 million class A shares at $27 per share.
The company priced its stock above the expected range of $24-to-$26 per share. Because of this, the stock traded at more than $33 per share, 25 percent over its offering price. However, it went back to down to earth and finished the day back at $27 per share. It’s currently sitting at $28 per share.
It’s another glitzy IPO for the healthcare IT industry. In 2014, six companies in health IT had IPOs and raised billions. The most prominent were Premier, with its $760 million IPO, Castlight, with an IPO valued at $1 billion, and IMS Health, a Danbury, Conn.-based analytics company raised $1.3 billion. Castlight and IMS were among the biggest IPOs in 2014. Inovalon is thus far the second biggest IPO in 2015.
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