HCAT Health Catalyst, Inc.
Price Chart
Executive Summary
Health Catalyst signed a definitive agreement to sell its Vitalware mid-revenue cycle business unit to Med-Metrix for $147 million in cash. The proceeds, combined with cash on hand, will be used to fully repay and terminate its ~$160 million senior secured term loan facility. The transaction sharpens Health Catalyst's focus on its core AI and clinical improvement platform while eliminating a significant debt burden.
Key Financial Metrics
Actionable Insight
The divestiture removes a non-core business and eliminates the company's debt, significantly de-risking the balance sheet. Monitor for HSR clearance and closing timeline; the stock should re-rate as a leaner, debt-free entity focused on higher-growth AI/analytics. The $37M revenue loss from Vitalware will be offset by interest expense savings and strategic focus.
Key Facts
- Health Catalyst to divest Vitalware to Med-Metrix for $147 million in cash (base amount, subject to customary adjustments).
- Net proceeds plus cash on hand will fully repay and terminate the existing ~$160 million senior secured term loan facility.
- Vitalware generated approximately $37 million in fiscal year 2025 revenue.
- Transaction expected to close in Q3 2026, subject to HSR clearance and other customary conditions.
- No stockholder vote required; 80% employee acceptance condition applies.
- Raymond James served as financial advisor; Latham & Watkins as legal counsel.
Financial Impact
$147 million base purchase price; proceeds used to repay ~$160 million term loan facility, eliminating debt and associated interest/prepayment costs.
Risk Factors
- HSR review could delay or impose conditions on the transaction.
- Failure to retain at least 80% of Vitalware employees could block closing.
- Post-divestiture revenue base will be smaller; execution risk on core business growth remains.
- Use of cash to repay debt reduces liquidity buffer.
Market Snapshot
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001636422-26-000082 |
| Exhibit: exhibit991-projectnewdawnp.htm | 0001636422-26-000082 |
| Document: hcat-20260604.htm | 0001636422-26-000082 |
| Document: 0001636422-26-000082-index-headers.html | 0001636422-26-000082 |
| Document: 0001636422-26-000082-index.html | 0001636422-26-000082 |
| Document: 0001636422-26-000082.txt | 0001636422-26-000082 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
|
Jun 4, 2026
1d ago
|
8-K
| $1.63 awaiting T+5 | awaiting T+5 | — | $1.90 (+16.87%) |
|
Jun 3, 2026
1d ago
|
DEFA14A
| — | awaiting T+5 | — | — |
|
May 11, 2026
24d ago
|
8-K
| $1.48 $1.27 | ▲ +14.19% | ▲ +14.27% | $1.90 (−28.72%) |
|
May 1, 2026
5w ago
|
Press Release
| $1.45 $1.59 | ▲ +9.66% | ▲ +7.31% | $1.90 (+31.38%) |
|
Apr 30, 2026
5w ago
|
10-K/A
| — | awaiting T+5 | — | — |
|
Apr 30, 2026
5w ago
|
Press Release
| $1.25 $1.57 | ▲ +25.60% | ▲ +23.87% | $1.90 (+52.40%) |
|
Apr 27, 2026
5w ago
|
8-K
| $1.37 $1.57 | ▼ −14.60% | ▼ −14.20% | $1.90 (−39.05%) |
US Market Status
Subscribe to SecBot
Get Real-Time SEC Filing Intelligence
Comprehensive SEC filing analysis delivered the moment filings hit EDGAR. Sentiment scoring, impact analysis, and actionable insights for every material event.
Try SecBot Free Coming soon: SecBot Pro with alerts, watchlists, and API access