HealthStream Raises $40M Through Stock Placement

By Bobby Samwell • Tuesday, September 15 10:49 • Permanent Link

HealthStream completed a $40 million private placement of its common stock, issuing 1,355,932 new shares to WJRJJ Ventures at $29.50 per share. In the same transaction, WJRJJ bought 144,068 existing shares from CEO Robert A. Frist Jr. for about $4.25 million, also at $29.50 a share, bringing the total shares acquired to 1.5 million.

The company said it will use the cash it received for general corporate purposes, including continued investment in its solutions, working capital, potential acquisitions, and other strategic initiatives.

After the sale, Frist remained HealthStream’s largest shareholder, with about 16.4% of the company’s issued and outstanding common stock. WJRJJ is owned by investor Willis Johnson, who is chairman of Copart. Johnson said he was drawn to HealthStream after getting to know the company through Empath Nursing, where HealthStream holds about a 5% stake and has a business agreement tied to its HStream platform.

HealthStream said the transaction closed on Sept. 14, 2026. Today the company's shares have moved 0.03% to a price of $29.64. For more information, read the company's full 8-K submission here.

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