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.

• KKR & Co. Inc. (KKR) recently announced the recapitalization of DentalXChange, the largest independent electronic data interchange platform used by dental providers and insurers to streamline claims, attachments and other critical processes. KKR will support DentalXChange in creating a broad-based equity ownership program aimed at providing equity to all employees at the company. Headquartered in New York City, KKR is a prominent global investment firm that manages approximately $638 billion in assets across various sectors. KKR’s investment in DentalXChange is through its Ascendant Fund, which focuses on middle-market businesses in North America.
• The VERTEX Company, backed by Wind Point Partners, recently announced the acquisition of ADAMS Management Services Corporation. ADAMS is a health care-focused program and project management firm with nearly 40 years of experience in managing complex capital programs. The VERTEX Company is a global professional services firm that provides expert forensic, management and regulatory consulting services. This strategic acquisition enhances VERTEX’s expertise in the health care sector and improves its ability to support complex capital programs. Wind Point Partners is a PE firm based in Chicago, IL, which focuses on acquiring and maximizing the potential of middle-market businesses throughout North America.
• Inspirit Equity recently announced a strategic investment in Nomi Health. Nomi Health partners directly with self-funded employers, local providers and public organizations to create alternative care pathways to lower costs. This partnership aims to help Michigan employers manage rising health plan costs with innovative services. Inspirit Equity is a PE firm based in Beverly Hills, California, focused on companies with strong fundamentals and collaboration with management.
• HistoSonics recently announced the acquisition of a majority stake in its equity by a group of prominent private and public investors, including K5 Global, Bezos Expeditions and Wellington Management, along with several new stakeholders. This transaction values HistoSonics at approximately $2.25 billion and paves the way for the accelerated expansion of its products into new clinical applications and international markets. K5 Global is a venture capital firm based in San Francisco, California, focusing on investments in software and the fintech sector. Bezos Expeditions is the family investment office of Jeff Bezos, headquartered in Mercer Island, Washington, which invests in both early- and late-stage ventures across various sectors. Wellington Management is a private, independent investment management firm based in Boston, MA, with client assets under management totaling over $1 trillion, headquartered in Boston, Massachusetts.

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