Waystar explores sale that could return firm to private ownership

Waystar Holding is exploring strategic alternatives, including a potential sale that could return the healthcare payments software company to private ownership about two years after its 2024 public listing. The company has hired Evercore to advise on the early-stage process, which could change or end without a transaction. Waystar’s market value has fallen to roughly $4.8 billion after its shares declined 24% this year amid broader weakness in software stocks and concerns about artificial intelligence disrupting the industry. The company’s recurring subscription revenue and high customer retention provide support, but moderating growth, lengthy implementations and significant debt could limit its flexibility. Major shareholders include EQT, the Canada Pension Plan Investment Board and BlackRock, while analysts remain divided between confidence in the underlying business and concern over its valuation and execution risks.