Press Release: Cano Health Closes Business Combination with Jaws Acquisition Corp. and Will Begin Trading on the New York Stock Exchange
Cano Health, Inc. (“Cano Health,” the “Company,” “we,” “our” or “us”), a leading value-based primary care provider for seniors and underserved communities, today announced it has completed its business combination with Jaws Acquisition Corp. (“Jaws”) (NYSE: JWS). The business combination, which was approved by Jaws’ stockholders at its special meeting held on June 2, 2021, will enable Cano Health to achieve its vision of becoming America’s leader in primary care and accelerate the Company’s growth.
Beginning June 4, 2021, Cano Health’s shares of Class A common stock will trade on the New York Stock Exchange (“NYSE”) under the symbol “CANO.”
“This is an important milestone for Cano Health and for underserved patients, as it will allow us to expand our brand of high quality and cost-effective primary care throughout the country,” said Dr. Marlow Hernandez, Co-founder, Chairman and CEO of Cano Health. “Our calling is to fundamentally improve how healthcare is delivered so that patients can live longer and fuller lives. We believe our strategy of building, buying, and managing primary care centers, with a focus on the senior population, strongly positions Cano Health for future growth. As we enter new markets, we lead with our brand promise of putting our members first, delivering best-in-class outcomes, and maintaining strong ties with all stakeholders.”
“Cano is a great American success story, a story of passionate people, committed to serving the underserved communities in which it operates, providing better health care, at lower cost, with superior outcomes,” said Barry Sternlicht, Founder and Chairman of Jaws Acquisition Corp. “It is led by equally passionate leaders, in Drs. Marlow Hernandez and Richard Aguilar. This is a story of a company that does well, and will surely grow, while doing good. We are delighted to join them in this journey.”
Dr. Marlow Hernandez will continue to lead Cano Health as CEO and Chairman of the Board of Directors, alongside the Company’s highly experienced executive team. Members of the team include Chief Clinical Officer Dr. Richard Aguilar, Chief Financial Officer Brian Koppy, Chief Compliance Officer and General Counsel David Armstrong, Chief Strategy Officer Dr. John McGoohan, Chief Population Health Officer Pedro Cordero, Chief People Officer Jennifer Hevia, President of Cano Medical Centers Gina Portilla, President of Healthy Partners Bob Camerlinck, SVP of Acquisitions Joel Lago, and Chief Brand Officer Barbara Ferreiro.
As a result of the business combination, Cano Health received approximately $1.49 billion of gross proceeds, including approximately $690 million of cash held in Jaws’ trust account and $800 million from private placement (PIPE) investors including Barry Sternlicht and funds affiliated with Fidelity Management & Research Company LLC as well as funds and accounts managed by BlackRock, Third Point and Maverick Capital.
Moelis & Company acted as financial advisor to Cano Health. Credit Suisse served as financial advisor and exclusive capital markets advisor to Cano Health. Credit Suisse also served as exclusive placement agent on the private offering. Goodwin Procter LLP served as legal counsel to Cano Health. Kirkland & Ellis LLP served as legal counsel to Jaws Acquisition Corp. Cravath, Swaine & Moore LLP served as counsel to certain Cano Health shareholders, including members of Company management.
About Cano Health
Cano Health operates value-based primary care centers and supports affiliated medical practices that specialize in primary care for seniors in Florida, Texas, Nevada, and Puerto Rico, with additional markets in development. As part of its care coordination strategy, Cano Health provides sophisticated, high-touch population health management programs including telehealth, prescription home delivery, wellness programs, transition of care, and high-risk and complex care management.
The Company’s personalized patient care and proactive approach to wellness and preventive care sets it apart from competitors. Cano Health has consistently improved clinical outcomes while reducing costs, affording patients the opportunity to lead longer and healthier lives. Cano serves a predominantly minority population (80% of its patients are Latino or African American) and low-income population (50% of its patients are dual eligible for Medicare and Medicaid). For more information visit www.canohealth.com or www.canohealth.com/investors/.
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995, as amended. These forward-looking statements include statements regarding our future growth and strategy. Words such as “anticipate,” “believe,” “budget,” “contemplate,” “continue,” “could,” “envision,” “estimate,” “expect,” “guidance,” “indicate,” “intend,” “may,” “might,” “plan,” “possibly,” “potential,” “predict,” “probably,” “pro-forma,” “project,” “seek,” “should,” “target,” or “will,” or the negative or other variations thereof, and similar words or phrases or comparable terminology, are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the Company’s control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements.
Important risks and uncertainties that could cause our actual results and financial condition to differ materially from those indicated in forward-looking statements include, among others, changes in market or industry conditions, regulatory environment, competitive conditions, and receptivity to our services; our ability to continue our growth; changes in laws and regulations applicable to our business; our ability to maintain our relationships with health plans and other key payers; the impact of COVID-19 or another pandemic, epidemic or outbreak of infectious disease on our business and results of operation; and our ability to recruit and retain qualified team members and independent physicians. For a detailed discussion of the risk factors that could affect our actual results, please refer to the risk factors identified in the definitive Proxy Statement/Prospectus filed by Jaws Acquisition Corp. with the SEC on May 7, 2021 and in our subsequent reports filed with the SEC. All information provided in this press release is as of the date hereof, and we undertake no duty to update or revise this information unless required by law.
Jaws Acquisition Corp.
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