HealthSpring, a Medicare Advantage insurer, has announced a public offering of at least 7.5 million common shares.
HealthSpring announces public offering
The Nashville-based company said the shares were resold by underwriters at a price of $35.95 per share. The sale would raise about $270 million.
HealthSpring said it expects to use half the net proceeds to pay down debt, and the rest for usual business, which could include acquisitions of “similar or complementary businesses,” according to a news release.
HealthSpring has also granted underwriters a 30-day option to buy up to an additional 1.125 million shares of common stock. The offering is expected to close around March 29.
HealthSpring operates Medicare Advantage plans in 11 states and Washington.
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