The IPO market has been sluggish this year with just 31 filings so far , the slowest beginning since 2003. But, the few health-related offerings — a partial IPO of nutritional company Mead Johnson in May and clinical trial data management company Medidata Solutions in June — have fared well. Up this week are two more: Cumberland Pharmaceuticals , a specialty drug maker, and Emdeon , an electronic medical-billing systems company. Cumberland, which will try to raise $100 million, already has two products on the market: Caldolor, an IV form of ibuprofen, and Acetadote, which treats acetaminophen overdose. The latter is interesting because the FDA recently stepped up its warning of acetaminophen overdose , notes Morningstar IPO Research . There’s a lot of

interest in Emdeon because of the the Obama administration’s health IT push . Emdeon processed almost half of all U.S. electronic medical claims in 2008, according to the WSJ . The company hopes to raise $332.5 million in its initial public offering. “Companies can only come to market successfully in this environment if there are three ingredients in an IPO: a well-run market leader, operating in a hot sector, and prudently priced,” Marino Marin, a managing director at investment bank Gruppo Levey & Co., told the WSJ. Emdeon “is clearly a market leader in a fast-growing service business, and the stock seems to be fairly priced.” Image: iStockphoto

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Two Health-Care IPOs Coming This Week