The New York Stock Exchange welcomes Oscar Health, Inc. (NYSE: OSCR), today, Wednesday, March 3, 2021, as they celebrate their IPO.
Oscar Health shares fell 8% in its initial public offering on Wednesday on the New York Stock Exchange.
The stock began trading at $ 36 per share. Oscar had priced his shares at $ 39 each, above his target range of $ 36 to $ 38. At $ 36 a share, it has a market capitalization of approximately $ 7.1 billion.
Oscar uses a combination of technology, provider partnerships, and member expertise to try to make health insurance pricing clearer to patients, while providing physicians with more flexible payment models. Joshua Kushner, brother of former President Donald Trump’s son-in-law Jared Kushner, CEO Mario Schlosser and Kevin Nazemi (who no longer works at the company) founded the New York-based company in 2012.
The company said in its filing to public that it has 529,000 members in 18 states. It competes against healthcare giants like UnitedHealth and CVS Health’s Aetna, but previously told CNBC that he believes he can succeed if he focuses on customer service and technology.
Oscar Health, Inc. co-founders Mario Schlosser and Josh Kushner play The Opening Bell®.
Oscar’s debut on the market comes amid heightened interest in virtual health companies as Americans seek alternatives to more traditional traditional care.
“Covid, in my opinion, has had an accelerating impact by shifting the healthcare system more towards what is consumerization, what is virtual and what is more risk sharing with providers and payers,” Schlosser told CNBC’s “Squawk Alley.” before the company’s first operation. . “Oscar, we designed the company to be at the forefront of all three.”
Despite the Covid-19 pandemic boosting the business of several healthcare companies, Oscar’s net loss widened to $ 406.8 million in 2020 from $ 261.2 million in 2019.
Its investors include Peter Thiel’s Founders Fund, Alphabet, Google’s parent company, Thrive Capital, Khosla Ventures, General Catalyst and Fidelity. Goldman Sachs, Morgan Stanley, Allen & Company and Wells Fargo led the bid.
Oscar is a four-time CNBC Disruptor 50 company, most recently ranked No. 12 in 2018. It is listed under the symbol OSCR.
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