Sharecare, a digital healthcare startup with Anthem as a major investor, to join the public market via blank check merger, with a $3.9 billion valuation. Sharecare’s merge with special purpose acquisition company Falcon Capital Acquisition Corp in the second quarter to create a new public trader company.
- The Sharecare and Falcon Capital Acquisition Corp will raise about $400 million for Sharecare. On closing of deal, Falcon will own about 20% of the new company, inclusive of the private investment in public equity (PIPE) investors, which include Koch Strategic Platforms and Baron Capital Group, among others.
- The capital will be used to strengthen the sales team and support new product lines and embark on future M&A, the company said. Anthem has pledged to invest at least $25 million in Sharecare in a concurrent private placement, according to a preliminary prospectus filed with the SEC this week.
- In January, Sharecare signed a $175 million deal to take over doc.ai, a healthcare intelligence startup in which Anthem held a 25% equity investment.
- Atlanta-based Sharecare, founded by WebMD founder Jeff Arnold and medical TV personality Mehmet Oz in 2010, aims to help consumers manage different elements of their health in one platform.
- Sharecare brought in $330 million in revenue last year, and projects that’ll increase to $396 million in 2021 and $629 million by 2023. The company has grown to 64,000 employer clients covering more than 7 million eligible lives and roughly 6,000 health system customers, since its inception in 2012.