Signify Health stock surges 36% on reports Amazon is bidding for the company

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Shares of Signify Health skyrocketed more than 36% Monday morning on reports that Amazon is among the bidders for the home health services provider.

Amazon, CVS and UnitedHealth Group are competing to acquire Signify, The Wall Street Journal and Bloomberg reported Sunday, citing people familiar with the matter.

Signify is up for sale in an auction that could value it at more than $8 billion, the Journal reported. The company will hold a board meeting Monday to discuss the bids, and final bids are due around Labor Day, according to the Journal.

Signify, which provides technology to help with in-home care, has a market cap of roughly $4.97 billion.

UnitedHealth has submitted the highest bid for Signify, in excess of $30 a share, while Amazon’s offer is close behind, Bloomberg reported.

The New York Stock Exchange welcomes Signify Health (NYSE: SGFY), today, Thursday, February 11, 2021, in celebration of its IPO. To honor the occasion, Kyle Armbrester, CEO, joined by John Tuttle, NYSE Vice Chairman and Chief Commercial Officer, rings The Opening Bell®.
NYSE

A deal would push Amazon further into health care. The retail behemoth last month announced it would purchase 1LifeHealthcare, the parent company of primary-care clinic company One Medical, for $3.9 billion.

Amazon’s stock was down more than 3% on Monday morning.

Representatives from Amazon and Signify Health declined to comment.

WATCH: Amazon to acquire One Medical for roughly $3.9 billion

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