For over a decade, Biote has been experiencing phenomenal business growth. The company, headquartered in Irving, Texas, was founded in 2012 to help men and women find relief from symptoms of age-related hormone imbalances, including fatigue, mood shifts, and sleep problems. Their therapies also help regulate blood sugar, cholesterol, and body fat to reduce the risk of chronic conditions like heart disease and diabetes.
Biote’s CEO Terry Weber selected Truist Securities as lead financial advisor in its successful 2022 bid to become a publicly traded company (Nasdaq ticker symbol BTMD). Subsequently, Truist Securities led an equity deal for Biote, which has provided greater access to a broader set of investors and is helping them exceed their original goals for staffing, sales, and expansion.
Irving, Texas; founded 2012
Healthcare, specifically a medical-practice-building business in the hormone optimization space
$11 million (FY 2021)
The power of partnering with the right team at the right time
Biote is a medical-practice-building company that enables medical practitioners to establish, build, and successfully implement a hormone optimization program. As a result, each patient receives a personalized plan to address their unique age-related hormonal imbalances and the symptoms they cause.
To achieve this, Biote supplies providers with education, software, marketing tools, clinical support, and access to high-quality bioidentical hormone pellets and Biote-branded dietary supplements. The patient begins therapy by providing bloodwork to practitioners, who input the information into Biote’s proprietary software, which helps them establish an individualized dosage of bioidentical hormones. Those hormones are delivered via a pellet implanted beneath the surface of the skin. After a few months, the patient’s bloodwork is reassessed, and the process begins again.
To date, Biote has trained and certified more than 6,400 medical practitioners who currently treat over 400,000 patients at more than 2,800 clinics in the United States, Mexico, and Canada. But with more than 200 million people experiencing hormone imbalances in America alone, Biote is driven to do more.
Biote & Truist Securities: Partners in caring
Biote had been working with Truist for four years when Terry turned to Pete Cataldo, managing director of Truist Healthcare Investment Banking at Truist Securities, in 2021 to discuss her company’s goal to go public.
“We were at a crossroads. We were looking for an innovative and hardworking bank to advise us as we looked to raise capital and pursue a public listing,” says Terry.
Biote needed capital to expand their sales force, provide a path to liquidity, and raise awareness of the brand to attract the interest of more physicians and patients.
“Taking the company public is a common way for a private company to approach these goals,” says Pete. On June 3, 2022, Biote rang the closing bell at Nasdaq.
Biote and Truist have connected in many ways. Both organizations are committed to providing the right care at the right time. That means providing foundational education, reassessing needs regularly (and adapting accordingly), providing a holistic solution, and sharing a strong work ethic.
“Biote is an exceptional brand, and they’re trying to reach more practitioners. Truist was able to provide the right level of capital to help the company continue to pursue their mission, the right level of access to investors to get their name out there, and the right advice on ways to help grow their business.”
Managing Director, Truist Securities – Healthcare Investment Banking
Reassess regularly and adapt quickly.
Effectively managing hormone levels is an involved, complex, and highly data-intensive process. Biote supports its partnered clinics in pursuing excellence in all facets of patient care by providing ongoing training and education with content that is continually reassessed and updated.
Truist Securities also helps clients like Biote reassess their needs by continuing to have conversations with them long after a transaction is complete.
“For example, when we were looking to go public, Truist put a plan together to raise a debt facility to satisfy Biote’s minimum cash requirement at closing,” says Terry. “And Truist provided a fully underwritten financing commitment of the $175 million we needed. It was important to have that creative solution.”
After Biote went public, talks between Terry and Pete shifted to the topic of liquidity. In January 2023, Truist was lead underwriter for an equity deal that helped increase Biote’s public float (the amount of shares in the hands of public investors).
“What started as more of a transaction has turned into a wonderful long-term relationship,” says Pete. “That’s really what we care about at Truist. It’s not about one particular transaction. We listen to what our clients need at the time, and we look to deliver on that.”
Provide a holistic solution.
Biote provides medical practices with a comprehensive platform and wraparound support that includes practice and inventory management software and marketing materials.
Pete says that Truist also provides a turnkey solution to clients. “As a full-service financial institution, we have all the products and services that would be relevant to a situation like this,” he explains.
Truist’s equity capital markets team found interested investors, provided financial expertise, and looked at what the appetite would be for an equity infusion. The debt capital markets team used the Truist balance sheet to provide the full $175 million needed to close the deal. The Truist M&A team provided advice around structuring and terms of the complex merger agreement. These are just a few examples of how Truist Securities delivers capital and advisory solutions.
“Some banks don’t have a balance sheet. They’re not a depository institution. There are banks that can loan money but only for a short period of time—so they take the risk, but they aren’t there for the long term,” says Pete.
“What we care most about at Truist is building long-term relationships. We’re not fixated on one product or solution. We’re fixated on trying to figure out what’s best for the client—both at that moment in time and going forward.”
Find partners who share your work ethic.
“When you’re passionate about your mission, you need a banker who is moving as fast as you are,” says Terry. “Whenever I met any Truist team members, they were totally prepared. The research was done. They knew what we needed. There was never wasted time.”
“Sometimes you really need a bank that will do the work,” says Terry. “And Truist brought the right amount of energy, aggressiveness, and partnership to the process. That was critical to me.”
Pete hopes this story will help others better understand the depth and breadth of Truist’s client-focused coverage, extensive sector and product expertise, and seamless execution of well-conceived strategies.
“We look at our clients the way Biote looks at their certified practitioners,” says Pete. “We’re here to take care of the people we serve so they can focus on what they want to achieve next.”
How your business can get there
Terry’s advice: What was surprising to me was that Truist stepped in and delivered solutions that I didn’t even know I needed—that included not only help on the equity side but also on the debt side. Today we’re just one year public and have completely different needs. So Truist is there with solutions. They’re nimble. They’re agile. Just truly a partner by all definitions.