Private Equity Deal Spotlight | Weekly Update

Health care continues to drive private equity (“PE”) activity, creating opportunities for investors and traditional health care providers. Transactions in the health care space are especially complicated, layering health care regulatory and reimbursement considerations on top of a complex securities, antitrust, privacy and security framework.

Hall Render’s PE team of attorneys and advisors leverage the strength and depth of our bench to navigate and efficiently execute PE transactions. The summary below includes highlights of recent PE deals and legislative updates.

• Peak Rock Capital announced the acquisition of BrightStar Care. BrightStar is a franchisor of home care services, with over 400 locations across the United States. BrightStar franchises provide skilled and unskilled home care, as well as medical staffing solutions to health care corporations. Peak Rock will aim to invest in technology, marketing and growth initiatives to allow BrightStar to serve more patients. Peak Rock is an Austin, Texas-based PE firm with investments in the health care industry.
• Ntracts, backed by Accel-KKR, acquired Compliatric. Ntracts is a provider of contract lifecycle management (“CLM”) solutions for the health care industry. Compliatric is a complete health care administration operating system (“HAOS”), streamlining compliance management for health care administrations. The acquisition will allow the two companies to combine their CLM and HAOS products into one platform. The deal is funded by Accel-KKR, a joint venture formed by Accel and Kohlberg Kravis Roberts, with $21 billion in capital commitments.
• Quest Products LLC recently acquired Beyond Health, a distributor of over-the-counter hemorrhoid care, pregnancy & baby solutions and healing & cleansing solutions. Backed by Promus Equity Partners, Quest Products is a leading developer and distributor of high-quality over-the-counter products, connecting brands with retail, health care facilities and online stores. Quest Products intends to expand its digestive health platform with the acquisition of Beyond Health. Promus Equity Partners is a Chicago-based PE firm focusing on lower-middle-market investments.
• Seoul Medical Group (“SMG”), backed by Ascend Capital, merged with Korean American Medical Group (“KAMG”). Both SMG and KAMG are networks of independent community physicians, with a focus of serving Asian-American patients. The partnership between the two networks forms one of the most prominent physician-led networks in the United States, serving nearly 100,000 patients and more than 5,000 physicians. The merger is financed by Ascend Capital, a health care-focused PE firm headquartered in New York City.

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