KKR says it will buy WebMD for $2.8B
KKR & Co. has reached a deal to buy WebMD Health Corp. for $2.8 billion.
The New York-based health-information provider had been running an auction after publicly putting itself in play earlier this year.
KKR’s Internet Brands plans to launch a tender offer in the next 10 business days to acquire WebMD shares for $66.50 each in cash, WebMD said Monday.
The shares were trading at just over $50 when WebMD said it would consider a sale. Shares rose 18 percent to $65 in premarket trading Monday. WebMD said the acquisition is expected to close during the fourth quarter of 2017.
WebMD was founded in the late 1990s by Jeffrey Arnold, who became a billionaire at age 29 when the company merged with Healtheon Corp. in 1999.
In addition to its website, featuring a symptom checker and glossary of medical terms, the company operates physician-focused Medscape.com, among other services.