SAN ANTONIO, Dec. 1, 2017 /PRNewswire/ -- Today, Centerbridge Partners, L.P. (Centerbridge) and HVHC Inc. (HVHC), a wholly-owned subsidiary of Highmark Inc. (Highmark), announced that they have closed on their multifaceted transaction announced on August 9, 2017.
Upon closing, Davis Vision was combined with Superior Vision, Centerbridge's existing managed vision care portfolio company, with Highmark now owning a minority interest in the combined managed vision care business. In a separate transaction, Centerbridge acquired a minority equity stake in Visionworks, HVHC's optical retail subsidiary. Highmark continues to retain a controlling ownership interest in Visionworks.
"The close of this transaction will enable us to move forward with our partnership with management and Highmark to create the nation's leading managed vision benefit offering; and move forward with our investment in support of Visionworks," said Dan Osnoss, managing director of Centerbridge. "We are excited to be part of the next chapter for these great companies, their organizations, and their stakeholders."
"Customers were at the core of Highmark's objective in seeking a partner in the vision business," said David Holmberg, president and chief executive officer of Highmark Health, Highmark's parent company. "At Highmark Health, we are leading a transformational strategy that will redefine health care by integrating health care delivery and insurance coverage in a new patient-centered, clinician-led model that improves health care quality, access and cost control."
For this transaction, CapM Advisors acted as financial advisor to Highmark. Skadden, Arps, Slate, Meagher & Flom LLP served as legal counsel to Highmark. Barclays and Macquarie Capital acted as financial advisors to Centerbridge. Goldman Sachs, Bank USA, Barclays, BMO Capital Markets, Macquarie Capital, and Morgan Stanley Senior Funding, Inc. are providing financing for the Davis Vision transaction. Willkie Farr & Gallagher LLP served as legal counsel to Centerbridge. Harris Williams & Co. provided advisory services to Highmark.
About Centerbridge Partners
Centerbridge Partners, L.P. is a private investment management firm employing a flexible approach across investment disciplines—from private equity to credit and related strategies, and real estate—in an effort to find the most attractive opportunities for our investors and business partners. The Firm was founded in 2005 and as of November 2017 has approximately $28 billion in capital under management with offices in New York and London. Centerbridge is dedicated to partnering with world-class management teams across targeted industry sectors and geographies to help companies achieve their operating and financial objectives. For more information, please visit www.centerbridge.com.
About Superior Vision
Superior Vision is a leader in managed vision care, providing vision and eye health solutions to commercial groups, individuals, health plans and government-sponsored programs such as Medicaid and Medicare. Headquartered in Baltimore, the company serves more than 11 million members nationwide. Superior Vision supplies access to the broadest and most diverse eye care provider network in the industry, including independent vision care providers, leading retail optical chains and online eyewear providers. For more information about Superior Vision, visit www.SuperiorVision.com.
About Highmark Health
Highmark Health is the Pittsburgh based parent company of an enterprise that employs more than 40,000 people nationwide and serves nearly 50 million Americans in all 50 states and is the second largest integrated health care delivery and financing network in the nation based on revenue. Highmark Health is the parent company of Highmark Inc., Allegheny Health Network, and HM Health Solutions. Highmark Inc. and its subsidiaries and affiliates provide health insurance to nearly 5 million members in Pennsylvania, West Virginia and Delaware as well as dental insurance, vision care and related health products through a national network of diversified businesses that include United Concordia Companies, HM Insurance Group and Visionworks. Allegheny Health Network is the parent company of an integrated delivery network that includes eight hospitals, more than 2,800 affiliated physicians, ambulatory surgery centers, an employed physician organization, home and community-based health services, a research institute, a group purchasing organization, and health and wellness pavilions in western Pennsylvania. HM Health Solutions focuses on meeting the information technology platform and other business needs of the Highmark Health enterprise as well as unaffiliated health insurance plans by providing proven business processes, expert knowledge and integrated cloud-based platforms. To learn more, please visit www.highmarkhealth.org.
About Highmark Inc.
Highmark Inc. and its health insurance subsidiaries and affiliates collectively are among the ten largest health insurers in the United States and comprise the fourth-largest Blue Cross and Blue Shield-affiliated organization. Highmark Inc. and affiliates operate health insurance plans in Pennsylvania, Delaware and West Virginia that serve 5 million members and hundreds of thousands of additional members through the BlueCard® program. Its diversified businesses serve group customer and individual needs across the United States through dental insurance, vision care and other related businesses. Highmark Inc. is an independent licensee of the Blue Cross and Blue Shield Association, an association of independent Blue Cross and Blue Shield companies. For more information, visit www.highmark.com.
SOURCE Highmark Inc.