The investment is aimed at recapitalising the company’s balance sheet, reducing annual debt service, and increasing liquidity to support future growth.
The funding will accelerate SelectQuote’s efforts to optimize its capital structure, allowing the company to explore strategic partnerships with insurance carriers while expanding its rapidly growing healthcare services business. The investment also enhances operating flexibility, enabling SelectQuote to pursue long-term growth initiatives.
The announcement follows SelectQuote’s fiscal second-quarter earnings report, in which the company posted a net income of $53.2 million. As of December 31, 2024, the company reported total debt obligations of $711.9 million.
With this new capital infusion, SelectQuote is positioning itself for sustained expansion, reinforcing its role as a key player in the Medicare brokerage and healthcare services sectors.
SelectQuote CEO Tim Danker said: “This strategic investment provides the financing we need to capitalise on the robust growth opportunities we foresee in both the senior health insurance and healthcare services marketplaces.”
He added: “While we have more work to do, this deal, on the heels of our 2024 receivables securitisation, marks the second meaningful milestone toward our ultimate goal of refinancing the business and significantly deleveraging the balance sheet.”
