Avella Specialty Pharmacy Goes to OptumRx
The auction for Riordan, Lewis & Haden’s portfolio company, Avella Specialty Pharmacy, was well under way back in February, according to industry sources. UnitedHealth Group’s (NYSE: UNH) Optum was reported to be in the lead, and then things went dark. It wasn’t until UnitedHealth Group’s third quarter earnings report was published on October 16 that the story ended. Some time in the third quarter, Optum acquired Avella and tucked it into its OptumRx pharmacy services subsidiary. The price wasn’t disclosed, but PEHub cited two sources saying the deal was valued at around $325 million. That’s pretty low, considering Avella’s previously disclosed... Read More »
Tower Health Adds Urgent Care and ASC Deals
Tower Health, a six-hospital system across southeastern Pennsylvania, is growing its network rather aggressively lately. On October 2, it announced the acquisition of Premier Urgent Care, which runs 19 urgent care centers in Pennsylvania and Delaware. A week earlier, it reported a new joint venture with United Surgical Partners International (USPI), part of Tenet Healthcare (NYSE: THC). Tower Health is the new name for the former Reading Health System, based in West Reading, Pennsylvania. Until May 2017, the system consisted of Reading Hospital, which housed a cancer institute, a cardiac center, a rehabilitation hospital and a physician network of more than 1,000 physicians. On May 30 of... Read More »
Irving Place Capital Exits Universal Hospital Services
Irving Place Capital Management scored big in August — $1.74 billion big. The private equity firm sold Universal Hospital Services, a medical equipment management company, to Federal Street Acquisition Corp. (NASDAQ: FSAC), a special purpose acquisition company sponsored by an affiliate of Thomas H. Lee Partners. Universal Hospital’s diverse customer base includes over 4,000 acute care hospitals, 4,000 alternate site providers, and over 150 major medical equipment manufacturers. Under the terms of the agreement, Federal Street and Universal Hospital will combine under a new holding company to be named Agiliti, Inc., which intends to apply to have its common stock and warrants... Read More »
Apothecare Pharmacy, LLC Acquired by Clearview and Starboard
Brockton, Massachusetts-based Apothecare Pharmacy, LLC has new owners. The institutional pharmacy was recently recapitalized by Clearview Capital Fund III, LP and Starboard Capital Partners, LLC. Financial terms were not disclosed. Apothecare targets the behavioral health sector in group homes and community-based settings in Massachusetts. The pharmacy’s primary patient base, which includes individuals with intellectual and development disabilities, has complex medication requirements. It serves more than 6,000 people in more than 700 group homes and other settings. Clearview and Starboard partnered with the Apothecare’s CEO and owner, Rudy Dajie, to recapitalize the business and... Read More »
PE Firms Go in Big for Dental Deals
Buying dental practices has been a competitive sport for a few years now, especially among private equity firms. Eighteen deals for dental practices have been announced through July 20 this year (no prices, of course). In all of 2017, 30 deals for dental practices were announced, with the buyers either private equity firms getting in on the action, or making add-on acquisitions. Last year’s consolidations have become large platforms today. One example is Western Dental Group, a portfolio company of New Mountain Capital since 2012, which has been cobbling together a California base focused on pediatric and family dental practices. In 2017, Western Dental added 14 Smile Wide offices... Read More »Schedule a demo
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