Transcarent to Acquire Accolade in $621M Deal
Deal News | Jan 08, 2025 | Globenewswire
Transcarent, a health and care platform, is set to acquire Accolade, a leader in health advocacy and personalized healthcare, in a transaction valued at approximately $621 million. This acquisition will see Accolade's shareholders receive $7.03 per share in cash, a premium of 110% over the closing stock price prior to the deal announcement. The merger, supported by both companies' boards, aims to enhance healthcare accessibility and affordability by merging Transcarent's generative AI capabilities and care experiences with Accolade's advocacy and primary care services. The combined entity will serve over 1,400 employer and payer clients, offering a unified platform focusing on consumer empowerment, improved health outcomes, and cost reduction. The acquisition is expected to complete in the second quarter of 2025 following regulatory approvals.
Sectors
- Healthcare Services
- Technology & Innovation
Geography
- United States – Both Transcarent and Accolade are based in the U.S., with operations likely impacting the healthcare and technology landscape across the country.
Industry
- Healthcare Services – The article discusses the acquisition of Accolade by Transcarent, both operating in the healthcare services field, aiming to improve health management and care delivery.
- Technology & Innovation – The merger focuses on the integration of generative AI and complex healthcare data to create a seamless healthcare platform, highlighting advances in technology and innovation.
Financials
- 621000000 – Total equity value of the acquisition deal for Accolade by Transcarent.
- 7.03 – Cash per share offered to Accolade shareholders in the acquisition.
- 110 – Percentage premium of the offer price over Accolade's previous closing stock price.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Transcarent | Acquirer | Company | A healthcare platform aiming to provide accessible and affordable healthcare experiences using AI technology. |
| Accolade | Target Company | Company | A leader in health advocacy, personalized healthcare, and employee health navigation services. |
| General Catalyst | Financier | Company | Provided committed equity financing for the acquisition transaction. |
| Evercore | Financial Advisor to Transcarent | Company | Advised Transcarent on the financial aspects of the acquisition. |
| Wilson Sonsini Goodrich & Rosati | Legal Advisor to Transcarent | Company | Provided legal counsel to Transcarent for the acquisition. |
| Morgan Stanley & Co. LLC | Financial Advisor to Accolade | Company | Served as Accolade's exclusive financial advisor during the acquisition. |
| Cooley LLP | Legal Advisor to Accolade | Company | Provided legal advice to Accolade in relation to the transaction. |
| Glen Tullman | CEO | Person | Chief Executive Officer of Transcarent, the acquiring company. |
| Rajeev Singh | CEO | Person | Chief Executive Officer of Accolade, the target company. |
| Hemant Taneja | Joining Board | Person | CEO and Managing Director of General Catalyst, joining Transcarent's Board post-transaction. |