Forian Inc. (NASDAQ:FORA) has received an unsolicited proposal from its chief executive officer and major shareholders to take the company private at $2.10 per share. The proposal, led by founder and CEO Max Wygod along with inside directors Adam Dublin and Shahir Kassam-Adams, represents a consortium that beneficially owns approximately 63% of the company's common stock.
The $2.10 per share offer represents a 19% premium to Forian's closing price as of August 22, 2025. The proposal argues that as a public company, Forian's low float depresses liquidity, slows market recognition of value, and creates valuation disparities compared to private peers. The consortium also cites the expense, distraction, and administrative burden of quarterly reporting requirements and Sarbanes-Oxley compliance obligations as reasons for going private.
Forian's Board of Directors has established a Special Committee consisting of independent directors to evaluate the proposal. The committee, with its advisors, will determine the appropriate course of action and process. The transaction would be structured as a two-step process involving a cash tender offer followed by a short-form merger under Section 251(h) of the Delaware General Corporation Law.
The proposal is contingent on several conditions, including receipt of financing for the transaction, negotiation of satisfactory employment agreements, execution of a definitive acquisition agreement, and approval by the Special Committee. The consortium plans to fund the transaction through personal resources, third-party financing, and the company's net cash at closing. Additional information about the proposal can be found at https://www.newmediawire.com.
This development is significant for shareholders as it offers immediate liquidity and certainty of value at a premium to current trading levels. For the healthcare and life sciences data analytics industry, a successful take-private transaction could signal a trend where companies with specialized data capabilities seek to operate away from public market pressures. The outcome could influence how similar data-driven companies approach public market participation versus private ownership structures.
The proposal remains non-binding and subject to due diligence completion. There is no assurance that any definitive offer will be received, that a definitive acquisition agreement will be executed, or that the transaction will be approved or consummated. The company has no obligation to provide updates except as required under applicable law.
