HEALTHEON: New IPO Would Raise $35M
Hoping to capitalize on the resurgence of the stock market, Healtheon Corp. has filed initial public offering papers with the Securities and Exchange Commission. Thursday's filing comes three months after Healtheon founder James Clark, also the founder of Netscape Communications Corp., canceled an IPO slated for October that had aimed to raise $51 million, citing a "troubled IPO market." The new documents report net losses of $35.6 million during the nine months ending Sept. 30, compared with net losses of $21.3 million in the same period a year ago. Revenue grew from $7 million to $33.2 million. Healtheon's product: software and services that "let doctors, hospitals and insurers share patient information over the global computer network." Other health-related companies already in the online health market include Drugstore.com and PlanetRx, scheduled to start selling prescription medications over the Internet later this year. Mediconsult.com Inc. and OnHealth Network Co., already online, provide health news and information over the Internet. The latest filing does not disclose the number of shares for sale or the expected price range per share (Bloomberg/Los Angeles Times, 1/15).This is part of the California Healthline Daily Edition, a summary of health policy coverage from major news organizations. Sign up for an email subscription.