Cano Health jumps 15% amid Signify Health deal speculation
Maksim Labkouski


Cano Health (NYSE:CANO) soared 15% amid reports that the home health service provider Signify Health (NYSE:SGFY) plans to conduct a board meeting to evaluate multiple buyout offers.

The bidders for Signify Health (SGFY) include tech giant Amazon (AMZN), health insurers UnitedHealth (UNH), CVS Health (CVS), and home healthcare provider Option Care Health Inc. (OPCH). A winner could be announced as early as this week, Bloomberg reported Sunday evening, adding that UNH has placed the highest bid of more than $30 per share.

Cano Health (CANO) is spiking on speculation it could be another takeout candidate after Signify Health (SGFY), especially after Amazon (AMZN) agreed to buy One Medical (ONEM) in a $3.9 billion deal last month. Dealreporter mentioned CANO in an item on Monday morning relating to the Signify Health speculation.
Cano Health (CANO) shares climbed 11% on Wednesday amid vague deal speculation following a Dealreporter item. The story speculated that companies like Cano Health (CANO) and Oak Street Health (OSH) could be potential targets as their shares have suffered and potential acquirers may be major insurance companies like Humana (HUM), UNH and CVS.
CANO has short interest of 11.7%.

The latest speculation comes after Cano Health, whose shares have plunged 46% YTD, surged 43% on March 9 after activist investor Daniel Loeb's Third Point hedge fund said CANO should explore strategic alternatives, including a potential sale.