WindRose Health Investors Makes Investment in Avalon Healthcare Solutions

NEW YORK, Jan. 12, 2026 /PRNewswire/ -- WindRose Health Investors, LLC ("WindRose"), the New York-based healthcare private equity firm, announced that it has completed an investment in Avalon Healthcare Solutions ("Avalon" or the "Company"), a platform that integrates laboratory science and data to power real-time, lab-driven insights on behalf of health plan clients. Francisco Partners, a leading global investment firm that specializes in partnering with technology businesses, has also made an additional investment in the Company. Avalon helps to ensure the appropriate use of routine and genetic lab tests and manages a national network of independent test providers.

WindRose's investment and deep experience scaling tech-enabled payer services solutions will enable Avalon to accelerate its growth trajectory, invest in novel product offerings and further develop its next-generation technology platform. Avalon is uniquely positioned to address the complex and evolving needs of payers with its proprietary technology that automatically reviews and enforces lab test claims against client-adopted, clinically-derived policies. Avalon's management team, headed by CEO Bill Kerr, will continue to lead the Company in its next phase of growth.

"We are grateful for Francisco Partners' continued support and are excited to partner with WindRose and begin this next chapter," said Mr. Kerr. "Francisco Partners has enabled us to grow and scale Avalon to where it is today, and we believe WindRose is a perfect additional partner to support the Company's growth strategy of delivering an end-to-end lab benefit management platform. With the help of WindRose's investment and strategic involvement, Avalon will continue to drive meaningful efficiencies on behalf of its health plan clients while also focusing on investing in innovation and building out its suite of capabilities."

"Avalon has built a leadership position as a preferred partner to health plans that seek operational efficiencies while managing increasingly complex lab benefits. Avalon's purpose-built lab insights platform uniquely combines lab benefits management, clinical science, and analytics to deliver value to its clients. We are thrilled to partner with Bill and the team to scale the business and continue to support product innovation," said David Pontius, Partner at WindRose.

"Avalon has evolved into a differentiated, mission-critical partner for health plans by combining deep clinical expertise with a highly scalable technology platform," said Ezra Perlman, Co-President of Francisco Partners. "We are excited to continue supporting Bill and the Avalon team as they invest in new product capabilities and drive meaningful impact for payers navigating an increasingly complex diagnostics landscape."

William Blair acted as financial advisor to Avalon. McDermott Will & Schulte LLP acted as legal advisor to WindRose, Kirkland and Ellis acted as legal advisor to Francisco Partners, and Davis Polk & Wardwell LLP acted as legal advisor to Avalon.

About WindRose Health Investors

New York City-based WindRose makes equity investments in companies that operate within the services sectors of the healthcare industry. The firm focuses on companies with profitable business models and a demonstrated ability to deliver cost-effective solutions. With approximately $7 billion under management, WindRose invests in companies throughout the United States. For more information, please email us at [email protected].

About Francisco Partners

Francisco Partners is a leading global investment firm that specializes in partnering with technology and technology-enabled businesses. Since its launch over 25 years ago, Francisco Partners has invested in over 500 technology companies, making it one of the most active and longstanding investors in the technology industry. With over $50 billion in capital raised to date, the firm invests in opportunities where its deep sectoral knowledge and operational expertise can help companies realize their full potential. For more information on Francisco Partners, please visit www.franciscopartners.com.

About Avalon Healthcare Solutions

Headquartered in Tampa, Florida, Avalon is a healthcare technology company focused on managing the appropriate use of thousands of routine and genetic diagnostic laboratory tests on behalf of health plan clients. Avalon's library of evidence-based lab policies is actively managed by a team of scientists and encoded into its proprietary platform to help payers reduce avoidable costs and improve clinical outcomes. For more information, please visit www.avalonhcs.com.

Contact:
Lambert by LLYC
Caroline Luz
[email protected]
203-570-6462

SOURCE WindRose Health Investors