(Bloomberg) -- Evolent Health Inc.’s shares jumped Aug. 22 after a report that the company is in talks with private equity firms for a potential sale.
Evolent is working with a financial adviser on the sale process, Reuters said Thursday, Aug. 22, citing people familiar with the matter without naming them. The Arlington, Virginia-based company has received initial bids, and a deal could be reached in the next few weeks, Reuters said. Evolent shares gained 14% on Aug. 22, in New York, and rose 2.7% the following day. Shares fell 4.1% Monday.
Evolent contracts with health plans to manage care for people with complex conditions like cancer and heart disease. The company has a market value of $3.7 billion.
Potential bidders include private equity firms TPG Inc., Clayton Dubilier & Rice and KKR & Co., the Reuters report said. Evolent didn’t respond to a request for comment on Aug. 22.
Reuters initially identified Elevance Health Inc. as one of the bidders, but on Aug. 26 corrected its story to say the company had dropped out of the process at an earlier stage, citing an unnamed person familiar with the situation. Elevance didn’t respond to a request for comment from Bloomberg News on Aug. 22.
(Corrects story originally published Aug. 22 to show Elevance Health was not a bidder after Reuters corrected its report.)
©2024 Bloomberg L.P.
