The stock of Hinge Health (HNGE) had a successful initial public offering (IPO), with the company’s share price rising 17% in its first day of trading on the New York Stock Exchange.
The digital physical therapy company managed to raise $273 million U.S. from its IPO and achieved a market capitalization of a little more than $3 billion U.S.
The stock of Hinge Health opened at $39.25 U.S., up 23% from its IPO price of $32 U.S.
The shares ended the trading session on May 22 up 17% at $37.56 U.S. a share. The company sold 8.52 million shares in the offering.
Founded in 2014, Hing Health uses software to help patients treat acute musculoskeletal injuries, chronic pain, and carry out post-surgery rehabilitation remotely.
The San Francisco-based technology company had initially priced its IPO in a range of $28 U.S. to $32 U.S.
Wall Street was closely watching the Hinge Health IPO for signs of investor appetite for new stock listings.
The U.S. IPO market has been in the doldrums since the 2022 bear market, but there are hopes that demand for equity offerings will rebound.
Within the digital health sector, the IPO market has largely been dormant over the past three years. Digital health companies have struggled since the end of the Covid-19 pandemic.
Wall Street bankers continue to evaluate demand for IPOs this year amid market choppiness and ongoing macroeconomic and trade uncertainty.
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