UPDATE 1-Emdeon files for $460 mln IPO in class A shares

Fri Sep 12, 2008 8:10am EDT

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Sept 12 (Reuters) - Emdeon Inc, which offers billing sevices for healthcare businesses, filed with U.S. regulators on Friday to raise up to $460 million in an initial public offering of class A common stock.

The Nashville, Tennessee-based company told the U.S Securities and Exchange Commission in a preliminary prospectus that Morgan Stanley, Goldman Sachs, UBS, Merrill Lynch, Banc of America, Citi, Credit Suisse, Oppenheimer, Piper Jaffray, Wachovia and William Blair & Co were underwriting the IPO.

The company plans to use the proceeds from the offering to buy units held by Hellman & Friedman Continuing LLC Members and for other general corporate purposes.

Following the offering Emdeon will have four classes of authorized common stock, according to a filing with the U.S. Securities and Exchange Commission.

The company's principal shareholders, affiliates of private equity firms General Atlantic LLC and Hellman & Friedman LLC, will hold Class B and Class C shares, respectively, that will have 10 votes per share. Class A shares and Class D shares will have one vote per share.

Emdeon posted net income of $16 million on revenue of $808.5 million for the year ended Dec 31, 2007.

The filing did not reveal how many shares the company planned to sell or their expected price. The company intends to list its class A common stock on the New York Stock Exchange. (Reporting by Shivani Singh in Bangalore; Editing by Jarshad Kakkrakandy)

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