M&A · Healthcare · Services-Home Health Care Services
CVS Health Corp to acquire Signify Health, Inc.
Announced Sep 5, 2022 · Closed Mar 29, 2023
Deal value$8.00BEV $5.28B
Premium—To unaffected price
EV / Adj. EBITDA—6.3x EV / Revenue
ConsiderationAll cash$30.50 per share
Transaction
- Acquirer
- CVS Health Corp (CVS)
- Target
- Signify Health, Inc.
- Buyer type
- Strategic
- Offer price per share
- $30.50
- Enterprise value
- $5.28B
- Status
- Closed Mar 29, 2023
Deal protections
- Break fee (target pays)
- $228M · 2.9%
- Reverse fee (buyer pays)
- $380M · 4.8%
- Go-shop
- No-shop
- Financing
- No financing condition
Advisors
- To the acquirer
- BofA Securities
- To the target
- Goldman Sachs, Deutsche Bank
- Deutsche Bank fee
- $24.0M
Sector context · Healthcare
- Comparable deals
- 59 in the prior 24 months
- Premium
- Sector median 50.0%
- EV / Adj. EBITDA
- Sector median 17.4x
- Break fee
- 2.9% vs. 3.4% sector median
Timeline
- AnnouncedSep 5, 2022
- Proxy filedSep 19, 2022
- Definitive proxySep 30, 2022
- Shareholder voteOct 31, 2022
- ClosedMar 29, 2023
Valuation · fairness opinions
Trading comparablesGoldman Sachs$22.23$30.43
Trading comparablesGoldman Sachs$19.06$28.90
Precedent transactionsGoldman Sachs$9.28$23.03
Premiums paidGoldman Sachs$19.44$23.82
Trading comparablesDeutsche Bank$14.56$31.30
Trading comparablesDeutsche Bank$16.72$35.45
Precedent transactionsDeutsche Bank$11.69$23.03
Discounted cash flowDeutsche Bank$23.96$31.67
Analyst price targetsDeutsche Bank$20.00$35.00
Offer $30.50
Implied value per Signify Health, Inc. share by analysis, from Goldman Sachs and Deutsche Bank · DCF discount rate 9.5%–11.5%.