RadNet raises $230M through public stock offering
Industry giant RadNet Inc. closed its latest public stock offering on Tuesday, raising a total of approximately $230.2 million.
The Los Angeles-based imaging center operator sold some 5,232,500 shares of common stock at $44 apiece. After deducting commissions and other expenses from the offering, RadNet will put the money toward “general corporate purposes.”
“We may also use a portion of the net proceeds to acquire complementary businesses, products, services or technologies,” the company reported in a filing with the U.S. Securities and Exchange Commission ahead of the stock offering. “However, except for our previously announced acquisition in Houston, we do not have agreements or commitments to enter into any such acquisitions at this time.”
RadNet did not immediately respond to a Radiology Business request for comment late Tuesday. Jefferies and Raymond James acted as joint bookrunning managers for the offering. RadNet had originally sought $200 million from the offering but sold nearly 700,000 additional shares amid high interest.
The company also previously closed a stock offering in June, raising $259 million or 48% more than its original ask. During RadNet’s quarterly earnings call March 1, leaders said $30 million of last year’s capital raise went to paying down debt while another $30 million funded the acquisition of a radiology practice in Houston.
RadNet shares were down slightly late Tuesday, trading at about $46.02 apiece, but have gained more than 67% in value over the past six months.
Marty Stempniak has covered healthcare since 2012, with his byline appearing in the American Hospital Association's member magazine, Modern Healthcare and McKnight's. Prior to that, he wrote about village government and local business for his hometown newspaper in Oak Park, Illinois. He won a Peter Lisagor and Gold EXCEL awards in 2017 for his coverage of the opioid epidemic.