GigCapital2 Secures $285 Million from Institutional Investors for its Combination with UpHealth Holdings

UpHealth Holdings, an integrated global platform serving four large digital health markets, today announced that, in connection with its previously announced business combination with GigCapital2, they raised $285 million from institutional investors, in a mix of equity and convertible debt.

This private placement includes an aggregate of 3,000,000 shares of GigCapital2 common stock at $10.00 per share and $255,000,000 of 5-year unsecured convertible notes which shall bear interest at a rate of 6.25% per annum, and are convertible into common shares of the combined company, UpHealth, Inc., at a conversion price of $11.50.

In November, 2020, UpHealth and Cloudbreak Health, LLC signed business combination agreements with GigCapital 2. The combined company will be named “UpHealth, Inc.” and will be listed on the New York Stock Exchange under the ticker symbol “UPH”.

UpHealth operates in four fast growing digital healthcare markets, and curates a system of care that enables personalized care delivery via integrated care management that oversees the entire patient experience to deliver better outcomes. UpHealth is a company that has significant geographic reach, scale and profitability with 2020 estimated revenues of $115mm and EBITDA of over $13mm.

“We are honored to receive this strong show of support from the institutional investors,” stated Chirinjeev Kathuria, MD, Co-Founder and Executive Chairman of UpHealth. “This capital will allow us to accelerate our domestic growth in the 1,800 healthcare systems we currently serve and will facilitate our continued expansion across global markets.”

“This private placement of $285 million is the foundation for the integration and advancement of UpHealth. Our collective vision is centered around delivering personalized care by integrated care management to drive better outcomes has been our collective vision,” said Mariya Pylypiv, Ph.D., Co-Founder and Vice-Chairwoman of UpHealth.

“Our goal is to provide a comprehensive, patient-centric, one-stop solution for individual care needs. We look forward to expanding our footprint globally to serve all those needing real healthcare solutions” Al Gatmaitan, DSc, FACHE, Co-Chief Executive Officer of UpHealth added.

GigCapital Global is a Private-to-Public Equity (PPE)™ investment group, sponsoring and operating Special Purpose Acquisition Companies (“SPAC”, also known as Blank-Check companies). Founded in 2017 by Dr. Avi Katz, the GigCapital Group and its sponsored SPACs are led by an affiliated team of technology industry experts, deploying a unique Mentor-Investors methodology to partner with exceptional privately-held and U.S. and non-U.S. public technology companies led by dedicated, innovative entrepreneurs.

The GigCapital Group companies offer financial, operational and executive mentoring to U.S. and global private, and non-U.S. public companies, in order to accelerate their path from inception and as a privately-held entity into the growth-stage as a publicly traded company in the U.S.

Read more: Business Wire