Axios Pro Exclusive Content

PACS Group prices upsized IPO

Illustration of the Wall Street bull wearing a stethoscope.

Illustration: Aïda Amer/Axios

Post-acute care provider PACS Group (NYSE: PACS) debuted on NYSE today at $23 after pricing at $21 per share.

Why it matters: PACS is the second IPO in the post-acute health care sector this year.

By the numbers: The deal raised $450 million at a valuation of $3.1 billion.

  • The company reported $113 million in 2023 profit on $3.1 billion in revenue.

Catch up quick: The shares are trading above the $21 pricing PACS set earlier today.

How it works: Farmington, Utah-based PACS acquires underperforming custodial care facilities to convert into "higher value short-term transitional care facilities."

  • PACS leases and owns more than 200 facilities across nine states, which include skilled nursing facilities, assisted living and independent living.

State of play: PACS' closest comparable is BrightSpring Health, which went public in January and is trading at $10.17 a share at time of writing.

The bottom line: The IPO market has been a mixed bag so far across sectors, but there's clear pent-up appetite from investors for new stocks.

Go deeper