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.

• ABA Connect, an applied behavior analysis therapy provider for children with autism backed by MBF Healthcare Partners II, L.P., recently acquired ABA Therapy of Houston. Headquartered in Katy, Texas, ABA Therapy provides applied behavior analysis therapy, speech therapy and occupational therapy to children with autism. ABA Connect intends to leverage the transaction to expand its existing network to 12 clinics across Texas and Colorado. MBF Healthcare Partners II, L.P. is a Gables, Florida-based PE firm with investments in middle-market health care companies.
• Crown Aesthetics, a Hildred Capital Partners portfolio company and medical aesthetics provider, announced the purchase of select assets and technology from Healeon LLC. Healeon is a Texas-based subsidiary of Bimini Health Tech that specializes in blood separation technologies to improve the generation of platelet-rich plasma. The transaction intends to further Crown Aesthetics’ goal of maintaining its position as a platelet-rich plasma solutions provider for customers across North America. Hildred Capital Partners is a health care-focused PE firm based in New York.
• Behavioral Framework, an applied behavior analysis (“ABA”) therapy provider backed by Renovus Capital, closed its acquisition of Behavior Consultation and Psychology Services (“BCPS”). BCPS is a clinic, home and school-based ABA therapy and autism diagnostic services provider for children in North Carolina. Following the transaction, Behavioral Framework will continue to provide therapy and autism diagnostic services to over 1,000 families across the Southeast. Renovus Capital is a Philadelphia-based, lower-middle-market private equity firm with investments in the knowledge and talent industries.
• QuVa Pharma, Inc., a national 503B outsourcing services provider and Bain Capital portfolio company announced the acquisition of Logic Stream Health, Inc., with debt funding provided by Blue Owl Capital. Headquartered in Minneapolis, Minnesota, Logic Stream Health offers a software-as-a-service informatics platform for health care system pharmacies. The transaction seeks to expand QuVa Pharma’s integrated health care solutions through the addition of Logic Stream Health’s predictive analytics. Bain Capital is an international investment firm with a footprint in the consumer, health care and technology industries. Blue Owl Capital is a specialty finance and business development company that provides lending to middle-market companies.
• HATCo announced its plan to acquire Summa Health by year-end, pending approval by the Ohio Attorney General and the Ohio Department of Insurance. Summa Health is an Akron, Ohio-based hospital system with over 30 locations across the region. The transaction marks HATCo’s first hospital system acquisition despite several investments in the health care industry. HATCo is owned by General Catalyst, a venture capital firm focused on the health assurance, consumer and financial technology sectors with offices in San Francisco, New York, London, Berlin and Cambridge.
• Dynamic Infusion, a home infusion nursing services provider, announced the acquisition of IV Solutions Group, LLC d/b/a Infusicare. Infusicare is a New Jersey-based home infusion nursing services provider for specialty pharmacies across New Jersey. Dynamic Infusion intends for the transaction to expand its presence in the central and northern regions of New Jersey. Dynamic Infusion is backed by RiverGlade Capital, a PE firm based in Chicago with investments exclusively in the health care sector.
• AnewHealth, a national pharmacy care management provider backed by The Vistria Group and Nautic Partners, announced a merger with Louisville, Kentucky-based HomeFree Pharmacy Services. HomeFree Pharmacy Services is a home health agency serving nearly 50,000 patients across 33 states. Following the transaction, AnewHealth will combine HomeFree Pharmacy services with its existing pharmacy, ExactCare, to improve clinical and cost outcomes for patients. The Vistria Group is a private investment firm with offices in Chicago, Dallas and New York City focusing on the health care, financial services, knowledge and learning solutions and housing industries. Nautic Partners is a PE firm headquartered in Providence, Rhode Island with investments in the health care, industrials and services sectors.