Bain Capital sells Waystar holding shares for $218.2 million

Published 27/02/2025, 02:04
Bain Capital sells Waystar holding shares for $218.2 million

Bain Capital Investors LLC, a significant stakeholder in Waystar Holding Corp. (NASDAQ:WAY), has sold a substantial portion of its shares in the company. According to a recent SEC filing, Bain Capital divested a total of 5,652,689 shares at $38.60 per share, amounting to approximately $218.2 million. The sale comes as Waystar’s stock has demonstrated remarkable strength, posting a 104% return over the past year, with the current stock price at $42.35.

The transaction, which occurred on February 24, 2025, was part of a registered public offering. The sale included 552,696 shares from BCPE Derby Investor, LP and 5,099,993 shares from BCPE Derby (DE) SPV, LP. According to InvestingPro data, Waystar maintains strong financial health with a current ratio of 2.55, indicating robust liquidity. Analysts maintain a bullish outlook on the company, with expectations of profitability in 2025.

Following this transaction, Bain Capital retains ownership of 22,327,728 shares in Waystar Holding. Additionally, on the same date, BCPE Derby Investor and BCPE Derby (DE) SPV distributed 573,192 shares as part of charitable gifts among their members or partners. For deeper insights into Waystar’s valuation and growth prospects, investors can access comprehensive analysis and 11 additional ProTips through InvestingPro’s detailed research reports.

In other recent news, Waystar Holding Corp. reported strong financial results for the fourth quarter of 2024, with revenue reaching $244 million, marking an 18% increase compared to the same period last year. Earnings per share came in at $0.29, surpassing forecasts. The company projects revenue growth of 7% to 10% for 2025, with expected revenue between $1,000 million and $1,016 million. Goldman Sachs raised Waystar’s stock target to $52, maintaining a Buy rating, citing the company’s outperformance in revenue and profitability estimates. Evercore ISI also increased its price target to $50, highlighting Waystar’s consistent financial performance and improved financial health. Additionally, Waystar announced a public offering of 18 million shares by investment funds affiliated with EQT AB (ST:EQTAB), Canada Pension Plan Investment Board, and Bain Capital, LP. This offering will not financially benefit Waystar, as proceeds will go directly to the selling stockholders. Canaccord Genuity raised its price target for Waystar to $50, maintaining a Buy rating, attributing the increase to the company’s significant growth and recent product developments.

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