KKR-backed ambulance giant GMR valued at $3 billion as shares fall in NYSE debut

​Emergency medical services heavyweight GMR ​Solutions was valued at $3.01 billion after its shares fell ​10% in its New York Stock Exchange debut on Wednesday, adding to a string of subdued listings in recent weeks. The Lewisville, Texas-based company's shares opened ‌at $13.50 apiece, compared with ⁠the $15 ⁠offer price. It sold about 31.9 million shares in its initial public offering (IPO) ​to raise $478.7 million. GMR, better known as Global Medical Response, had slashed ​its IPO price on Tuesday, selling shares well below its initial marketed range of $22 to $25 apiece. Analysts say the recent uptick in IPOs ​remains somewhat precarious, with investors still cautious on ⁠valuations and happy ‌to pass over less-exciting offerings.

"Highly leveraged companies ​like this ​rarely see a strong first-day pop. When investors ⁠don't see a company with strong growth and sentiment, ​they fall back on valuation," said Matt Kennedy, senior ​strategist at Renaissance Capital, a provider of IPO-focused research and ETFs.

"Investors want to see clear upside before committing. This is especially true now. The second-quarter rally baked in hopes that the Iran War would end soon. So I think the lack ‌of progress over the past week is making investors nervous."


GMR, formed in 2018 by combining investment firm ​KKR's portfolio companies ​Air Medical and ⁠American Medical Response, provides emergency medical services and out-of-hospital care across roughly 1,400 U.S. counties.

The company supports nearly 5.5 million patient encounters annually with ​about 34,000 employees, it said. GMR completed a $5.4 billion refinancing last year and exited some contracts to focus on its core operations and boost profitability. It had about $5 billion in long-term debt as of December 31.