Medline’s $6.3 Billion IPO Ignites Wall Street as Healthcare Giant Makes Historic Debut

In the final weeks of 2025, Wall Street’s attention was stolen not by the latest tech darling or AI powerhouse, but by a company whose products are far more familiar to hospitals than to smartphone users. Medline Industries, a 59-year-old medical supply firm that quietly occupies a critical place in healthcare around the world, made history by completing the largest initial public offering (IPO) of 2025, raising $6.26 billion and igniting renewed confidence in the IPO market.

On December 16, Medline offered 216 million shares at a price of $29 each, which was the most expensive option offered to investors. The offering attracted enough demand to justify an upsized deal, reflecting strong appetite for large, cash-generating businesses in an otherwise cautious equity environment. Based on that pricing, Medline’s stock began trading on the Nasdaq Global Select Market under the symbol “MDLN” with a market valuation above $50 billion, far exceeding expectations for a medical supply company.

Medline’s journey to the public markets is unusual by today’s standards. The company was founded in 1966 and briefly went public in the 1970s, before becoming private once more. Its modern incarnation — and rapid growth — owes much to a 2021 leveraged buyout in which private-equity heavyweights Blackstone, Carlyle Group, and Hellman & Friedman acquired a majority stake in the business in a deal valued at roughly $34 billion.

For years after that acquisition, investors watched for signs that Medline — long known mostly within healthcare circles rather than on trading desks — might return to public markets. Even though broader IPO markets struggled with volatility earlier in 2025, the company's extensive product portfolio, consistent demand for medical supplies, and rising healthcare spending all contributed to its compelling case. When trading opened on December 17, Medline’s stock didn’t just enter the market — it surprised it. Shares climbed sharply on their first day, with early trading gains of more than 20 % above the IPO price, offering early investors a significant return in just hours.

Medline was enthusiastically received by investors, who saw it not as a risky newcomer but as a profitable, cash-flowing business in a market that is less susceptible to sudden downturns than technology or consumer goods. For many in the market, Medline’s performance was as much a vote of confidence in healthcare stability as it was a testament to the company’s business model. Unlike growth startups with little revenue, Medline has a decades-long track record of incremental expansion. In the first nine months of 2025, the company reported $977 million in net income on $20.65 billion in revenue, up from roughly $911 million on $18.72 billion in the year-ago period — evidence that its core business remains resilient across economic cycles.

Medline isn’t just another healthcare company; it supplies more than 335,000 medical and surgical products to hospitals, clinics, and care providers around the world — from surgical gowns to exam gloves and baby blankets. This breadth of offerings, coupled with an extensive logistics network, made it indispensable during the COVID-19 pandemic and beyond, as supply chain reliability became a strategic priority for healthcare systems.

In many ways, Medline’s IPO has become a benchmark event for private-equity-backed companies. After years of disappointing exits and stalled listings — caused by a volatile macro backdrop and risk-averse investors — a successful mega-IPO signals that institutional demand for substantial, established businesses remains strong.

The deal also hints at broader confidence returning to the U.S. markets just as 2026 approaches. Wall Street bankers and analysts are already pointing to other major potential offerings — including SpaceX and AI leaders like OpenAI and Anthropic — that could follow in Medline’s wake.

Despite the IPO’s success, Medline is far from an unencumbered success story. One major impetus for the offering was debt reduction: the company will use a large portion of the IPO proceeds to pay down outstanding borrowings from its 2021 leveraged buyout. This move aims to improve financial flexibility and lower interest costs, which could appeal to credit ratings agencies and long-term investors alike.

Yet the timing and structure also reflect larger debates about private equity’s role in healthcare. Critics argue that high leverage can strain operations and put pressure on margins, while supporters counter that disciplined capital allocation — now supported by public investor demand — can drive long-term growth.

Medline’s IPO may mark the end of one chapter and the beginning of another — not just for the company, but for the broader IPO market. A strong debut suggests investors are ready to embrace large, established companies that demonstrate profitability and sector stability. For Medline itself, the road ahead will involve navigating growth expectations as a public company while maintaining its position as a staple supplier in global healthcare.

In a year that saw market volatility, trade tensions, and economic uncertainty, Medline’s successful entry onto the Nasdaq stands out as a reminder that solid, fundamental businesses with real earnings power still have a place in an evolving capital markets landscape.