The pandemic turned into a golden opportunity for InnovAge Holdings to launch an initial public offering last week. On Wednesday the Denver, CO-based elder care firm sold 16.7 million shares at $21 each, above it’s expected price range of $17 to $19.
“If there was a silver lining in the pandemic, it was how agile and how flexible we had to be to take care of your mom and dad at the end of the day,” InnovAge President and CEO Maureen Hewitt told McKnight’s Home Care Daily.
InnovAge was founded in 2007 and provides healthcare to seniors in their homes. The company targets people 55 and older who are frail and require skilled nursing services, but can live safely in their homes. Clients receive healthcare through the Program of All-Inclusive Care for the Elderly (PACE). Medicare and Medicaid pay for the program.
InnovAge operates 17 centers in Colorado, California, New Mexico, Pennsylvania and Virginia. It provides services to 6,600 seniors in those markets. Hewitt said the money raised through the public offering will help InnovAge expand its centers.
“PACE requires that you have to invest in bricks and mortar. So, as we grow, we’re required by regulations to develop these PACE centers in communities,” Hewitt said.
InnoVage offers clients a variety of services including medical and dental services. It also provides physical therapy, speech therapy, adult day care and meals.
“We also do things on the social determinant side like put grab bars up in mom’s bathroom, wheelchair ramps that are so necessary to keep your parents at home safely,” Hewitt said.
Hewitt estimates there are about 2.2 million PACE eligible seniors across the U.S. She says there is potential for InnovAge to move into other markets.