Digital physiotherapy platform Hinge Health (HNGE.US) has an IPO price of 32 US dollars and plans to raise USD 273 million

The Zhitong Finance App learned that digital physical therapy startup Hinge Health (HNGE.US) on Wednesday priced its US initial public offering (IPO) at $32 per share, which is at the upper end of the expected range. The company sold 8.52 million shares in this offering and raised approximately US$273 million. The total number of shares issued will be 13.7 million shares, and the remaining shares will be sold by existing shareholders.

Hinge was founded in 2014 and will be listed on the New York Stock Exchange under the ticker symbol “HNGE.” The company submitted an initial prospectus in March of this year and updated the documents earlier this month to announce the expected pricing range of $28 to $32.

Based on the IPO price, Hinge Health's valuation is around $2.6 billion, which may be higher when calculated based on fully diluted share capital. This valuation has shrunk significantly from the $6.2 billion private equity valuation of the company during the last round of external financing in October 2021.

The company uses software to help patients remotely treat acute musculoskeletal injuries, chronic pain, and recover after surgery. Its co-founders include CEO Daniel Perez (Daniel Perez) and Executive Chairman Gabriel Mecklenburg (Gabriel Mecklenburg), both of whom have experienced firsthand struggles with physical healing.

In the first quarter of this year, Hinge's revenue increased 50% from 82.7 million US dollars in the same period last year to 123.8 million US dollars. Net profit for the quarter was 17.1 million US dollars, compared to a net loss of 26.5 million US dollars for the same period last year.

Hinge's IPO will be closely watched by the digital healthcare industry — there have been few public offering cases in this field since 2021. The digital healthcare market has been particularly difficult over the past few years, and companies have been struggling to recover from the post-pandemic slowdown in growth.

Overall, there have been few recent IPOs for technology companies, but there are signs that market activity is picking up. The stock price of the stock brokerage platform eToro (ETOR.US) surged on the first day of listing last Wednesday; artificial intelligence infrastructure provider CoreWeave (CRWV.US) reported a 420% increase in revenue, exceeding market expectations, driving its stock price to soar 56% last week.

Hinge has previously raised more than $1 billion from investors such as Tiger Global Management (Tiger Global Management) and Coatue Management.

In a letter to investors in March, Perez wrote, “We still have decades to work to do, and I hope you can join us on this journey.”