Hinge Health IPO Prices at $32, Raises $273M, Valued at $2.6B

Hinge Health, a digital physical therapy platform, has priced its initial public offering (IPO) at $32 per share, aiming to raise approximately $273 million. The company sold 8.52 million shares in this offering, with the total offering size set at 13.7 million shares. The remaining shares will be sold by existing shareholders. Hinge Health was founded in 2014 and will be listed on the New York Stock Exchange under the ticker symbol "HNGE".

The IPO pricing of $32 per share is at the upper end of the expected range, indicating strong investor interest in the digital health sector. Hinge Health's platform leverages digital technology to provide personalized physical therapy programs, making healthcare more accessible and convenient for users. The company's focus on digital solutions aligns with the growing trend of telehealth and remote patient care, which has gained significant traction in recent years.

Hinge Health's valuation at the IPO price is approximately $2.6 billion. This valuation is significantly lower than its last private valuation of $6.2 billion in October 2021. The company's revenue for the first quarter of this year grew by 50% year-over-year to $123.8 million, with a net profit of $17.1 million, compared to a net loss of $26.5 million in the same period last year. This financial performance demonstrates the company's strong growth potential and profitability.

The successful IPO will provide Hinge Health with the necessary capital to expand its services and reach a broader audience. The funds raised will likely be used for research and development, marketing efforts, and strategic acquisitions to enhance the platform's capabilities and market presence. This infusion of capital is expected to accelerate the company's growth and solidify its position in the competitive digital health market.

Hinge Health's IPO is a testament to the increasing demand for digital health solutions, driven by the need for efficient and effective healthcare delivery. The company's innovative approach to physical therapy, combined with its strong financial backing, positions it well for future success. As the digital health sector continues to evolve, Hinge Health is poised to play a significant role in shaping the future of healthcare delivery.

Hinge Health was co-founded by CEO Daniel Perez and Executive Chairman Gabriel Mecklenburg, both of whom have personal experiences with the challenges of physical rehabilitation. Their vision for a digital platform that provides accessible and effective physical therapy has resonated with investors and users alike. The company's mission to improve healthcare outcomes through digital innovation is reflected in its strong financial performance and growing user base.

The digital health sector has faced challenges in recent years, with a slowdown in growth post-pandemic. However, Hinge Health's IPO indicates a renewed interest in the sector and a recognition of the potential for digital health solutions to transform healthcare delivery. The company's focus on personalized physical therapy programs and its commitment to innovation position it as a leader in the digital health market.