Evolent Health Attracts Interest from Private Equity Firms for Potential Sale

Evolent Health is in negotiations with private equity firms and other companies regarding a possible sale. Among the interested parties are TPG, CD&R, and KKR. Elevance Health initially expressed interest but has since withdrawn. Evolent is working with a financial adviser and has received initial bids.

Evolent Health is exploring a potential sale, engaging in discussions with private equity firms and other companies following inbound interest. Sources indicate that TPG, CD&R, and KKR are among the notable firms interested in a deal with Evolent, which is currently valued at $3.3 billion. Evolent's early investor, TPG, is notably part of these discussions.

Initially, health insurer Elevance Health also showed interest in the bidding process but has since retreated, as confirmed by a source on Monday. Evolent, along with TPG, CD&R, KKR, and Elevance, did not immediately comment on the ongoing situation.

Working closely with a financial adviser, Evolent has already received initial bids for the prospective deal. However, sources, who prefer to remain anonymous due to the confidentiality of the discussions, caution against assuming a guaranteed outcome, noting that the deal might not come to fruition.