Under the terms of the agreement, NeueHealth shareholders will receive $7.33 per share in cash, representing a 70% premium over the company’s closing price on December 23, 2024. Existing investors, including Cigna Ventures and NEA, will retain their equity stakes.
Following the transaction, NeueHealth will transition to private ownership to further its focus on value-based care.
Founded in 2015 as Bright Health, NeueHealth has raised nearly $2.66 billion in funding.
Mike Mikan, President and CEO of NeueHealth, commented, saying: “We are pleased to announce this transaction as we believe it places NeueHealth in a strong position for continued growth while maximizing value for all of NeueHealth’s public stockholders. NEA has been a longstanding strategic partner, and we look forward to continuing to work together to build on NeueHealth’s success as a leader in value-based care.”
Mohamad Makhzoumi, Co-CEO of NEA also said: “We believe NeueHealth has built a differentiated model of care that is uniquely positioned to drive value for consumers, providers, and payors and we have confidence in the NeueHealth team and their ability to continue to lead the Company.”
He added: “We have had a strong partnership with NeueHealth since 2016 and share the Company’s commitment to making high-quality healthcare accessible and affordable for all Americans.”