Heartflow Sets IPO Terms, Aims to Raise $180M for Heart Imaging Software

Heartflow, a company specializing in software for creating 3D heart models, has announced the terms for its initial public offering (IPO) on the Nasdaq. The company plans to offer 12.5 million shares priced between $15 and $17 each, potentially netting around $180 million after fees.

IPO Details and Financial Outlook

Heartflow's IPO could raise up to $208.4 million if underwriters exercise their options to purchase additional shares. At the midpoint of the proposed range, the company expects to have approximately $130 million in IPO funding available after meeting a debt obligation. These funds are earmarked for sales, marketing, and research and development efforts.

The company's financial health appears robust, with preliminary unaudited revenue for the second quarter of 2025 ranging from $42.9 million to $43.4 million, representing a year-over-year increase of 38% to 40%. This growth is attributed to a significant rise in revenue case volume, which climbed 47% to 48,420 cases.

Product Portfolio and Market Expansion

Heartflow's flagship product, Heartflow FFRCT Analysis, has demonstrated impressive clinical results. The software was found to be 78% more likely to identify patients requiring revascularization compared to standard care pathways. This technology currently accounts for 99% of the company's total revenues.

In a move to diversify its product offerings, Heartflow is expanding the commercialization of its plaque analysis software. The FDA cleared this software in 2022, and the company began limited market education efforts in the latter half of 2023.

Insurance Coverage and Industry Recognition

In a significant development for Heartflow, UnitedHealthcare has decided to cover the company's plaque analysis software across all its lines of business, including Commercial, Medicare Advantage, and Community plans, effective October 1, 2025. This makes UnitedHealthcare the first insurer to align fully with recent guidelines from EviCore, a radiology benefit manager that provides coverage recommendations to leading commercial health insurers.

The inclusion of Heartflow's software in EviCore's cardiac imaging guidelines last month represents a crucial endorsement for the company's technology. This recognition, coupled with UnitedHealthcare's coverage decision, could pave the way for broader adoption of Heartflow's innovative heart imaging solutions in the healthcare industry.