Fueling Growth with IPO Proceeds
With the IPO war chest now secured, Kestra aims to accelerate its commercial expansion, investing in salesforce growth, clinical care specialists, and research & development. While the company has yet to turn a profit, its revenue trajectory is surging.
For the six months ending Oct. 31, Kestra reported a staggering revenue growth of nearly 300%, jumping from $9.5 million to $27.5 million year-over-year—an indicator of its rapidly expanding market footprint.
Bain Capital’s Hold and the IPO Windfall
Private equity powerhouse Bain Capital, Kestra’s majority stakeholder, saw its ownership shrink from 67% to 53% post-IPO. Meanwhile, underwriters secured an over-allotment option, allowing them to sell an additional 1.78 million shares, potentially pushing total IPO proceeds to $232.3 million.
Power Players Behind the Deal
Kestra’s IPO was powered by financial heavyweights, with BofA Securities Inc., Goldman Sachs & Co. LLC, and Piper Sandler & Co. serving as lead underwriters.
Legal counsel played a crucial role, with Kirkland & Ellis LLP, led by partners Sophia Hudson and Christie W.S. Mok, guiding Kestra. Meanwhile, the underwriters were represented by Allen Overy Shearman Sterling LLP, with partner Ilir Mujalovic at the helm.
