Benefitfocus files with SEC for offering of $100 million worth of common stock

By Liz Segrist
Published July 7, 2014

Benefitfocus Inc. filed a registration statement with the Securities and Exchange Commission for an offering of nearly $100 million worth of common stock.

The offering will be handled by the Goldman Sachs funds that have been company stockholders since 2007.

Previous coverage:

This is the Daniel Island-based company’s second offering. Benefitfocus will not receive any of the proceeds from the sale of the shares.

Benefitfocus made seven product announcements at its annual conference in May. At the end of the first quarter, 418 large employers and 43 insurance carriers were Benefitfocus customers. The employer market, which targets companies with more than 1,000 employees, is its fastest-growing segment, the company said.

Benefitfocus saw a net loss of $30.4 million in 2013. For the first quarter of 2014, its total revenue was $30.7 million, up 29% from the prior year, and its operating loss was $11.8 million, a 131% increase from the previous year.

Goldman, Sachs & Co., Deutsche Bank Securities Inc. and Jefferies LLC will act as the book-running managers for the offering. Canaccord Genuity Inc., Piper Jaffray & Co. and Raymond James & Associates Inc. will act as co-managers.

The company went public on the Nasdaq under BNFT in September 2013. As of May 31, Benefitfocus had 97 shareholders of record. More than 23 million people use its platform.

Reach staff writer Liz Segrist at 843-849-3119 or @lizsegrist on Twitter.

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