HealthEquity Announces Closing of Follow-on Offering

DRAPER, Utah, July 13, 2020 (GLOBE NEWSWIRE) -- HealthEquity, Inc. (NASDAQ: HQY) (“HealthEquity” or the “Company”), today announced the closing of the underwritten public offering of 4,600,000 shares of its common stock. The gross proceeds to HealthEquity from the offering are $257,600,000. Additionally, HealthEquity has granted the underwriters a 30-day option to purchase up to an additional 690,000 shares. HealthEquity intends to use the net proceeds from the offering to free up additional capital for organic and inorganic growth by pre-paying $200 million under its term loan facility, with the remaining proceeds to be used for general corporate purposes, which may include additional pre-payments under its term loan facility and/or potential acquisitions.

Wells Fargo Securities, LLC and J.P. Morgan Securities LLC are acting as lead book-running managers for the offering. Goldman Sachs & Co. LLC, and RBC Capital Markets, LLC are acting as book-running managers for the offering, and BofA Securities, Citizens Capital Markets, Inc., Deutsche Bank Securities and Raymond James & Associates, Inc. are acting as co-managers for the offering. The offering is being made only by means of the applicable prospectus supplement and accompanying prospectus. You may obtain copies of these documents without charge from the Securities and Exchange Commission (the “SEC”). Alternatively, you may request these documents from Wells Fargo Securities, LLC, Attention: Equity Syndicate Department, 500 West 33rd Street, New York, New York 10001 or by telephone at [phone], or by email at [e-mail]; J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, by telephone at [phone]; or by email at [e-mail] Goldman Sachs & Co. LLC, Prospectus Department, 200 West Street, New York, NY 10282, telephone: [phone], facsimile: 212-902-9316 or by emailing [e-mail]; RBC Capital Markets, LLC, Attention: Equity Syndicate Department, 200 Vesey Street, 8th Floor, New York, NY 10281, at 1-877-822-4089 or by email at [e-mail]. The shares of HealthEquity’s common stock were offered pursuant to an effective shelf registration statement filed with the SEC on September 7, 2018.