Sun Life-backed telehealth start-up Dialogue closes IPO, raises $100 million

Sun Life-backed telehealth start-up Dialogue closes IPO, raises $100 million | Insurance Business

Sun Life-backed telehealth start-up Dialogue closes IPO, raises $100 million

Dialogue Health Technologies has gone public on the Toronto Stock Exchange, and managed to raise $100 million through its initial public offering.

The telehealth company provides a virtual care platform targeted at employers, allowing users to access telemedicine services from frontline healthcare providers. It announced that it had filed to go public last month.

Read more: Sun Life-backed Dialogue goes public

A company release said that Dialogue sold an aggregate of 8,334,000 common shares at a price of $12 per share. The company secured total gross proceeds of roughly $100 million and is looking to use the funding to expand its product offering, implement new health services in end-markets, expand its customer base, and acquire complementary businesses.

The common shares will trade on the TSX under the symbol “CARE”.

“This IPO is an exciting new chapter for Dialogue and will not change our number-one focus to facilitate the delivery of high-quality care to our members and customers,” said Dialogue CEO Cherif Habib in a statement. “We will continue growing our platform, launching new health and wellness programs and bringing our solution to millions of people worldwide. A warm welcome to our new shareholders and partners joining us on this journey.”

The IPO was made via a syndicate of underwriters, Dialogue revealed, led by National Bank Financial, RBC Capital Markets, Scotiabank and TD Securities as joint bookrunners. Other participants included CIBC World Markets, Desjardins Securities, Canaccord Genuity, iA Private Wealth, INFOR Financial, and Laurentian Bank Securities.

Read more: Sun Life leads financing round for major telemedicine provider

Dialogue has raised over $200 million to date, which includes a $43 million round led by major Canadian life insurance company Sun Life. Other investors in the start-up include Caisse de dépôt et placement du Québec, Portag3 Ventures, White Star Capital, and First Ascent Ventures.