Q: Can you please comment on WELL announcement today about doing a spinout next year. Do you think is a compelling reason to initiate a position or add to an existing one?
5i Research Answer:
This has been discussed in the past, but is getting more 'official' as a plan. Wellstar has raised money, acquired some companies, and could be spun out in late 2025. Early valuation should be in the $300M range, with $70M in revenue. We think the plan makes sense, but we would still like WELL either way. We would be OK buying.