Healthcare payments software maker Waystar Holding Corp. is considering pricing its initial public offering around the midpoint of its marketed range, according to people familiar with the matter.
The listing for Waystar, whose backers include EQT AB and Canada Pension Plan Investment Board, is drawing about 10 times as many orders as there are shares available, one of the people said, asking not to be identified as the information isn’t public.
The potential pricing at the midpoint was reported earlier by Reuters. A representative for Waystar declined to comment.
The company is offering 45 million shares for $20 to $23 each in its IPO pricing later Thursday, according to its filings with the US Securities and Exchange Commission.
At the middle of the range, the IPO would raise about $968 million, according to Bloomberg calculations. Waystar would have a market value of about $3.6 billion at that price based on the outstanding shares listed in its filings.
The company filed publicly for a Nasdaq listing in October, and has been monitoring the market as it weighs the timing of a potential launch, people familiar with the matter have said.
Neuberger Berman and the Qatar Investment Authority have indicated an interest in buying as much as an aggregate of $225 million in shares, the filings show.
The firm’s investors also include Bain Capital and Francisco Partners and their affiliates, according to its filings. After the offering, EQT is expected to remain the largest shareholder with a 29% stake, followed by CPPIB with 22% and Bain with 16.8%.
Waystar said it had a net loss of $51.3 million on revenue of $791 million in 2023, compared with a loss of $51.5 million on revenue of $705 million the previous year.
The offering is being led by JPMorgan Chase & Co., Goldman Sachs Group Inc. and Barclays Plc. The company plans for its shares to trade on the Nasdaq Global Select Market under the symbol WAY.
(Updates with estimated IPO size and valuation in fifth paragraph.)
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