FRANKLIN, Tenn. and MERCER ISLAND, Wash., Dec. 22, 2010 /PRNewswire/ -- Renal Advantage and Liberty Dialysis, which last month agreed to combine to form the third largest provider of dialysis services in the U.S., today announced that they have closed their deal. The transaction – terms of which were not disclosed – was completed on December 17, 2010. The combined organization has 5,300 employees serving more than 19,000 patients in 260 locations in 32 states.
"The completion of our deal signals a new era in the dialysis industry, uniting two patient-focused, physician driven and employee-oriented companies with great autonomy to build their brands," said Mark Caputo, founder of Liberty Dialysis and CEO of the combined organization. "This transaction allows us to take advantage of the combined financial strength, purchasing power, and systems investment of two leaders in the industry."
"As we begin a new year with change on the health care horizon, we are well positioned for robust growth in the future through this deal," said Michael D. Klein, who has served as chief executive officer of RAI. "By focusing on the patient, partnering with talented nephrologists, and recruiting the best caregivers, we will optimize patient outcomes through active participation of both patients and caregivers."
Liberty Dialysis has been among the fastest growing dialysis companies for each of the last eight years, achieving 25 percent annual growth rates. Similarly, RAI has nearly doubled in size since its inception over five years ago. To accommodate its rapid growth, RAI has moved into a new 54,000 square foot office building in the McEwen Building in Franklin, Tenn., a suburb of Nashville. RAI will consolidate its existing corporate offices into this one location, improving efficiency while providing for its growth needs for the future. Liberty's existing administrative offices in conjunction with RAI's are forming a shared services organization supporting the two sister companies.
About Liberty Dialysis
With more than 112 dialysis clinics, Liberty Dialysis, is dedicated to providing outstanding care for patients with kidney disease, and a rewarding career experience for its caregivers. Liberty has a history of developing clinics in underserved communities in conjunction with local physicians and non-profit organizations. Liberty partners with local nephrologists and hospitals in developing, owning and operating these centers. Liberty was founded in 2002 by Mark Caputo and Bob Santelli in conjunction with Bain Capital. Liberty's historic rapid growth has been funded, in part, by subsequent equity investments from Bain Capital, KRG Capital Partners, and Ignition Partners, each of whom will continue as equity sponsors of the merged organization. For more information on the company, please visit the website for Liberty Dialysis at www.libertydialysis.com.
Barclays Capital and Bank of America Merrill Lynch served as financial advisors to Liberty Dialysis Holdings, Inc in relation to its transaction with RAI.
About Renal Advantage
Based in Brentwood, Tenn., Renal Advantage provides dialysis services to patients with chronic kidney failure, also known as end-stage renal disease (ESRD). Renal Advantage and Liberty Dialysis recently announced their merger which clearly positions the combined organization as the third largest provider of dialysis services in the U.S. The shared services organization will maintain their unique brands in the markets they serve, and have 5,300 employees serving more than 19,000 patients in 260 locations in 32 states. RAI also advances pioneering laboratory services through RenaLab, a state-of-the-art independent clinical laboratory located in Jackson, Miss. Founded by veteran healthcare executives, RAI's growth plan began with its acquisition of 73 dialysis centers in October 2005. For more information, visit RAI's website at www.renaladvantage.com.
Raymond James & Associates and Moelis & Company served as financial advisors to Renal Advantage in relation to this merger.
SOURCE Renal Advantage