Ardent Healthcare Plots Second IPO for $5 Billion Valuation with JPMorgan as Lead Underwriter

Healthcare operator Ardent is planning to launch an initial public offering (IPO) for the second time, with a potential goal of raising $400 million or more, according to sources familiar with the matter. The company submitted its IPO registration to the US Securities and Exchange Commission confidentially, aiming to value Ardent at around $5 billion or possibly more, the sources said on condition of anonymity.

Ardent may begin marketing its shares as early as July and aim to raise up to $500 million, one source revealed. The IPO is set to be led by JPMorgan Chase & Co., according to the same source. Ardent is mainly owned by Equity Group Investments (EGI), which was founded by the late billionaire investor Sam Zell. The decision on the IPO listing isn’t final yet and details are subject to change, the sources added.

Representatives for Ardent and EGI have not responded to requests for comment, while a JPMorgan spokesperson declined to comment on the matter. Tennessee-based Ardent had previously filed for an IPO in 2018 but withdrew the plan in 2020. The potential listing back then would have been led by Barclays Plc and Citigroup Inc., as well as JPMorgan, with financials showing a net loss of $143 million on revenue of about $4.2 billion in 2018.

Through its subsidiaries, Ardent owns and operates 30 hospitals and over 200 facilities with more than 1,700 aligned providers in six states, including Texas and New Jersey. EGI partnered with health-care real estate investment trust Ventas to acquire Ardent in 2015. Ventas took over Ardent’s real estate while EGI, along with various capital partners, acquired Ardent’s operations and entered into a long-term master lease agreement with Ventas.