Convey Health Solutions Holdings, Inc. (NYSE: CNVY) is engaged as a specialty healthcare technology and services company, which supplies its clients with compliant member support solutions for engagement and analytics. Shares of the healthcare technology company are skyrocketing 139% through early trading on Tuesday, June 21, 2022. Over the past three months, Convey Health has seen average daily volume of 105,820 shares. However, volume of 5.42 million shares or dollar volume of around $55.88 million, has already exchanged hands through early trading.
Shares of Convey Health Solutions are soaring after the company announced that it has entered into a definitive merger agreement with TPG Capital, a private equity platform of the global alternative asset management firm, TPG. Under the terms of the agreement, TPG will acquire all of the outstanding shares of Convey Health at a price per share of $10.50 in cash. This gives the company an enterprise valuation of $1.1 billion and represents a 99% premium compared to Convey’s 30-day volume weight average price.
The takeover is estimated to close during the second half of 2022 and is subject to customary closing conditions. TOG has approved the transaction as the principal shareholder of the company. No other shareholder approval is required to close the transaction. Upon closing, Convey Health will become a private company.
“Convey is a leading, integrated payor technology platform that enables efficiency and improves clinical and financial outcomes across the healthcare system. We look forward to continuing our partnership in its next chapter as a private company,” said Katherine Wood, Partner at TPG.
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