SelectQuote Gears Up for $450M Market Debut: Offering Hits NYSE This May

Insurance platform SelectQuote has revealed the terms for its upcoming public market entry, signaling the company’s transition from a private entity to a publicly traded business. The Overland Park, Kansas-based firm plans to secure $450 million through the issuance of 25 million shares priced between $17 and $19 per share, with approximately 28% of shares held by company insiders.

IPO Valuation and Market Context

At the midpoint of the proposed pricing range, SelectQuote would hold a fully diluted market capitalization of approximately $3.0 billion. This valuation reflects investor confidence in the company’s ability to help consumers compare life insurance policy options in an increasingly digital marketplace. For context, EverQuote, a direct competitor that went public in 2018, has appreciated 44% year-to-date, demonstrating the strong investor appetite for online insurance intermediaries.

Company Background and Financial Performance

SelectQuote has been operating since 1985 and has established itself as a significant player in the online insurance comparison space. The company generated $464 million in revenue during the 12-month period ending March 31, 2020, showcasing strong market traction and customer adoption. The platform enables users to compare life insurance policy offerings from multiple providers in a streamlined digital environment.

IPO Details and Timeline

The offering will be listed on the New York Stock Exchange under the ticker symbol SLQT. A syndicate of leading financial institutions—including Credit Suisse, Morgan Stanley, Evercore ISI, RBC Capital Markets, Barclays, Citi, and Jefferies—are managing the deal. Pricing is expected to occur during the week of May 18, 2020, with trading commencing shortly thereafter.

The IPO represents a milestone moment for the insurance technology sector and positions SelectQuote to accelerate innovation in the compare life insurance policy segment.