General Catalyst and ARCH's SPAC Revolution Healthcare Acquisition files for a $500 million IPO

Revolution Healthcare Acquisition, a blank check company formed by General Catalyst and ARCH Venture Partners, filed on Monday with the SEC to raise up to $500 million in an initial public offering.

The Cambridge, MA-based company plans to raise $500 million by offering 50 million SAIL (Stakeholder Aligned Initial Listing) securities at $10. Each SAIL security consists of one share of common stock and one-fifth of a warrant, exercisable at $11.50. At the proposed deal size, Revolution Healthcare Acquisition would command a market value of $525 million. The sponsor promote is only 5% due to the SAIL construct, which uses a performance-based incentive structure to create alignment.

The company is led by CEO Jay Markowitz, who is a Senior Partner at ARCH Venture Partners, and Chairman Jeff Leiden, the Executive Chairman of Vertex Pharmaceuticals (Nasdaq: VRTX). The company plans to target businesses at the intersection of health care, life sciences, and technology.

Revolution Healthcare Acquisition was founded in 2021 and plans to list on the Nasdaq under the symbol REVHU. The company filed confidentially on February 1, 2021. Morgan Stanley is the sole bookrunner on the deal.