IPO Sector: Team Health Holdings LLC (Knoxville TN) filed plans to sell up to an estimated $100 million of stock through an initial public offering, becoming the latest company to make such a move. Filings have been on a notable upswing the past month as the stock market has been able to hold its gains from March's multiyear lows. That has increased confidence among company owners, notably private-equity firms, to take holdings public. Blackstone Group LP (New York) currently owns 92% of the voting power in Team Health and will be selling stock through the IPO. The company calls itself one of the largest suppliers of outsourced health-care professional staffing and administrative services to hospitals and other healthcare providers in the U.S. The company handles everything from doctor recruitment and training to billing, payroll processing, and claims management. It provides similar program management services for hospital-affiliated radiology and pediatric groups, as well as inpatient care (hospitalist) programs. The 30-year-old company serves nearly 550 hospitals and their affiliated clinics in 46 states with nearly 6,000 physicians, assistants and nurse practitioners.
Team Health, which estimated the outsourced healthcare-staffing business to be a $50 billion market, had 2008 earnings of $41.7 million on revenue of $711.7 million, compared with a prior-year profit of $27.1 million on $665.5 million of revenue.
Elsewhere, Glenmark Generics Ltd., a unit of drugmaker Glenmark Pharmaceuticals Ltd., plans to raise 5.75 billion rupees through an IPO, according to a preliminary filing with the Securities and Exchange Board of India. The company plans to raise up to 1 billion rupees through a pre-IPO sale of shares, Glenmark added in its draft prospectus. Enam Securities and Kotak Mahindra Capital Co. will manage the issue, the proceeds from which will be used in part pay loans and for general corporate purposes.
