GoodRx’s Worst Month Ever Wipes Out Early Backers’ Profit

GoodRx’s Worst Month Ever Wipes Out Early Backers’ Profit

(Bloomberg) -- GoodRx Holdings Inc. has lost about $4.6 billion in value this month and Thursday’s earnings report did nothing to stop the rout, with the shares on track for a record 11th consecutive decline today.

Stock in the telemedicine and drug pricing comparison software company fell below September’s initial offering price of $33 for the first time on Monday, representing losses for early backers such as Silver Lake Management LLC. Other top investors include the banks that led the offering, including Morgan Stanley and Goldman Sachs Group Inc.

The once vaunted IPO, co-headed by Doug Hirsch, a former Facebook executive, and software entrepreneur Trevor Bezdek, has been hit by fears of mounting competition from Amazon.com. While a few on Wall Street have shrugged off the threat from the e-commerce giant, Morgan Stanley’s Ricky Goldwasser said investors were right to be concerned.