January 4, 2017 / 10:16 PM / 7 months ago

BRIEF-Castlight Healthto issue about 27 mln shares

2 Min Read

Jan 5 (Reuters) - Castlight HealthInc

* Castlight Healthannounces strategic acquisition of jiff

* Castlight Healthinc - will issue approximately 27 million shares and options at closing of transaction to former jiff equity holders

* Castlight Healthinc - issuance of 27 million shares represent approximately 20 percent of combined company on a fully-diluted basis

* Castlight Healthinc - castlight's president and chief operating officer, john doyle, will assume role of chief executive officer of combined company

* Castlight Healthinc - jiff's current ceo, derek newell, will become president of combined company

* Castlight health-issuance of up to additional 4 million shares to former jiff equity holders is contingent on achievement of growth goals for jiff business in 2017

* Castlight Healthinc - effective upon closing transaction, two members of current jiff board of directors will be appointed to castlight board

* Castlight Healthinc - effective upon closing transaction, one of castlight's current board members, ann lamont, will step down

* Castlight Healthinc - castlight expects to report full year 2016 gaap revenue of approximately $102 million

* Castlight Healthinc - jiff is expected to generate approximately $7 million in GAAP revenue for full year 2016

* Castlight Healthinc - combined company is expected to generate approximately $138 to $142 million in pro forma non-gaap revenue for full year 2017

* Castlight health-expects to realize operating efficiencies from deal which is expected to enable combined co to reach cash flow breakeven by end of 2018 Source text for Eikon: Further company coverage:

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