DALLAS and NEWPORT BEACH, Calif., Aug. 7, 2024 /PRNewswire/ -- Epilog Partners, a private equity platform built by investors, operators and innovators for healthcare's complexity, announced today the acquisition of Care Connectors Medical Group ("Care Connectors") on May 8, 2024. The majority recapitalization included significant rollover from the company's founders and co-investment from HealthQuest Capital, Echo Health Ventures and Blue Venture Fund.
Headquartered in Newport Beach, California, Care Connectors provides a national, on-demand platform for value-based care enablement. The company partners with health plans and risk-bearing providers to manage prospective risk adjustment, quality improvement, and care coordination. Care Connectors offers in-home (in-person and virtually) and community based (primary care and mobile clinics) solutions.
"Prior to starting Care Connectors, we were in our customers' seats and every day we leverage those experiences and our flexible, AI-enabled software platform to deliver customized solutions that meet our customers' unique needs," said Nilay Shah, Co-founder and Chief Executive Officer of Care Connectors. "We are excited to partner with Epilog given its track record of success with high growth companies in the value-based care space. Additionally, as a founder-owned business, we sought a partner that understood the company building journey and aligned with our commitment to operational excellence that drives differentiated results for our customers and their members and patients."
"As health plans and risk bearing providers continue to face change in their regulatory, reimbursement and care delivery environments, Care Connectors' unique ability to engage the hardest-to-reach and non-compliant patients, while serving as an extension of their primary care physician and health plan is becoming increasingly important in order to deliver the best outcomes," said Chris Price, Founder and Managing Partner at Epilog Partners. "We are thrilled to partner with such an amazing team at Care Connectors and honored to have been supported by a great group of co-investors that bring significant value to the next phase of growth for the company."
"Care Connectors is Epilog's third platform investment and the most recent example of the firm's commitment to investing in tech-enabled payer and provider services and software and tech-enabled pharma services companies that are improving clinical, financial, and experiential outcomes," said Kyle Gay, Principal at Epilog Partners. "We are currently invested in CareMetx, a leading biopharma hub services company, and successfully exited ReCept, a leading specialty pharmacy managed services company, to Omnicell."
Terms of the majority recapitalization were not disclosed. Gibson, Dunn & Crutcher and Holland & Knight represented Epilog in the transaction and BMO Sponsor Finance led the financing for the transaction. Bailey & Company and Sheppard Mullin advised Care Connectors.
About Care Connectors
Care Connectors Medical Group is a leading value-based care enablement platform focused on supporting health plans and risk bearing providers in their effort to manage prospective risk adjustment, quality improvement and care coordination. The company provides national, on-demand delivery of these solutions for members and patients in their homes (in-person and virtually) or community (primary care and mobile clinics). It was founded in 2018 by Nilay Shah, Dr. Vinod Kannarkat and Andrew Lam. For more information, visit www.myccmg.com.
About Epilog Partners
Epilog Partners is a private equity platform built by investors, operators and innovators for healthcare's complexity. It invests in tech-enabled payer and provider services and software and tech-enabled pharma services companies that are improving clinical, financial, and experiential outcomes. Epilog targets equity investments of $50 to $200 million in leveraged buyouts of profitable, high-growth companies. Its efforts are guided by a research centric, thesis driven approach that informs where to invest and how to maximize value. This approach has resulted in completed platform investments, add-on acquisitions, recapitalizations and liquidity events with an aggregate transaction value of over $6 billion. For more information, visit www.epilogpartners.com.
About HealthQuest Capital
Health Quest Capital is a private asset firm that provides capital to transformative healthcare companies. HealthQuest Capital focuses on commercial prospects that drive enhanced patient outcomes and elevate the efficiency of healthcare delivery. With approximately$2 billionin capital under management, the firm focuses on fostering innovation across the healthcare spectrum, including medical technologies, diagnostics and tools, digital health, and innovative services. The HealthQuest Capital team combines decades of investing experience with domain expertise in the various aspects of the healthcare industry. For more information, visit www.healthquestcapital.com.
About Echo Health Ventures
Echo Health Ventures drives systemic health care transformation through hands-on, purpose-driven strategic venture capital and growth equity investing. Echo brings together Cambia Health Solutions, Mosaic Health Solutions, USAble Corporation and BlueCross BlueShield ofTennesseeto accelerate health care innovation on a national scale and support meaningful health care impact. For more information, visit www.echohealthventures.com.
About Blue Venture Fund
The Blue Venture Funds are a unique collaboration among Blue Cross and Blue Shield (BCBS) companies, the Blue Cross Blue Shield Association, and Sandbox, to which 36 BCBS companies and special purpose licensees have committed over $1.2 billion across five funds. The Blue Venture Fund invests in promising emerging companies of strategic relevance to BCBS companies and provides its portfolio with access to BCBS companies to deploy innovation at scale. Sandbox is an independent firm that provides investment management services to the Funds. For more information, visit www.blueventurefund.com.
About BMO Sponsor Finance
BMO Sponsor Finance is a leading private credit group focused exclusively on middle market private equity backed transactions. BMO Sponsor Finance has $17B+ in leveraged loans across 300+ borrowers. In addition, BMO offers a full range of investment banking and complementary bank products to address the needs of middle market companies. For more information, visit https://commercial.bmo.com/en/us/industry-expertise/private-equity-sponsors/.
Contact: [email protected]
SOURCE Epilog Partners
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