Skylight Health Group Inc. (SLHG) stock plunged 7.46% in the pre-market trading session at the price of $1.36 after announcing the pricing of its public offering of common shares. Skylight Health Group is a healthcare services and technology company. It aims to bring a positive impact on patient health and society.
SLHG Announced Pricing of Public Offering of Common Shares
On 2nd December 2021, SLHG announced the pricing of a public offering of 275,000 shares of its Series A Cumulative Redeemable Perpetual Preferred Shares. The offered common shares have a public price of $21 per share. The company expects $5.8 million gross proceeds from the offering. The underwriters have also awarded a 30-day option to purchase an additional 41,250 shares of Preferred Stock at the public offering price. The offering has expected to close on 6th December 2021 and is subject to customary closing conditions.
SLHG Third Quarter 2021 Financial Results
On 15th November 2021, SLHG published its financial results for the third quarter ended 30th September 2021 and presented corporate updates.
Financial Highlights
SLHG reported revenue of $12.2 million for the third quarter ended 30th September 2021. It represents an increase of 16% from the second quarter of 2021. Third-quarter revenue increased 269% from $3.3 million for the third quarter of 2020. The company reported an adjusted EBITDA loss of $2.6 million for the third quarter ended 30th September 2021.
For the third quarter ended 30th September 2021, net loss from operations totaled $3.9 million. It includes $1.9 million from non-cash items and $1.1 million from charges related to accounting, legal and consulting fees. SLHG calculated a cash balance of approximately $5.6 million as of 30th September 2021.
Management Comments
Chief executive officer of SLHG, Prad Sekar, remarked that they are delighted to achieve the highest revenue during the quarter. They have prioritized their resources on the continued efforts to achieve revenue and cost synergies. They are excited to participate in value-based contracting through the direct contracting entity (DCE). The combination of building market density and sound centralization of support services have granted them more opportunities to adopt value-based care initiatives.
