RoundTable Healthcare Partners Leads Portfolio Company Add-On Acquisitions
MedAssist Holding, Inc. Acquires Twin Medical Transaction Services, Inc. and Capstone Solutions LLC
LAKE FOREST, IL, April 25, 2006 — RoundTable Healthcare Partners (“RoundTable”), an operating-oriented private equity firm focused exclusively on the healthcare industry, announced that its portfolio company MedAssist Holding, Inc. (“MedAssist”) has completed the acquisition of Twin Medical Transaction Services, Inc. (“Twin Medical”). Earlier this month, MedAssist separately acquired Capstone Solutions LLC (“Capstone”). Financial terms of the transactions were not disclosed.
MedAssist, Twin Medical, and Capstone are leading providers of outsourced revenue cycle management services to the healthcare industry. Twin Medical is an eligibility services-focused company that was founded in 2000 by owner and Chief Executive Officer Joseph D. Cook. Mr. Cook will serve as a Division President of MedAssist with responsibility for its west coast operations. Capstone is a consulting business that was founded by Brenda Smith, Sheila Jones, and Kim Bozeman, all of whom will continue to serve in executive capacities at MedAssist’s Capstone Division.
“Twin Medical and Capstone are highly strategic and complementary acquisitions for MedAssist,” said Joseph F. Damico, a Founding Partner of RoundTable and Chairman of the Board of MedAssist. “The addition of Twin Medical and Capstone increases MedAssist’s position as the national leader of healthcare revenue cycle management services. Furthermore, Twin Medical extends MedAssist’s geographic scope, particularly on the west coast.”
“We are excited about the combination of MedAssist, Twin Medical, and Capstone,” said Michael A. Shea, Chief Executive Officer and Founder of MedAssist. “These additions are positive for the customers and employees of all three companies as we continue to expand our geographic reach, and product and service offerings.”
Mr. Shea added, “We are also pleased to have worked with RoundTable on two more successful acquisitions. They have been instrumental in supporting and facilitating MedAssist’s growth strategy and plans.”
As part of the Twin Medical acquisition and to finance further growth opportunities for MedAssist, RoundTable facilitated an amendment to MedAssist’s senior credit facilities. The senior credit facilities were led by GE Antares Capital Corporation, with GE Healthcare Financial Services and National City Bank as co-documentation agents and participants in the facility.
RoundTable’s investment strategy targets companies in the healthcare industry that fall within the expertise and experience of the firm’s operating and transaction principals. MedAssist is one of the nine platform investments that RoundTable has made since the firm’s formation in 2001.
RoundTable’s other existing platform investments include:
- ACI Medical Devices, Inc., a leading specialty medical device manufacturer, including vascular, women’s health, urology, and gastroenterology products. Argon Medical Devices acquired Clinical Innovations, Inc. to form ACI Medical Devices
- Ascent Healthcare Solutions, the nation’s leading medical device reprocessor, formed through the merger of Vanguard Medical Concepts and Alliance Medical
- Bioniche Pharma Group Limited, a leading injectable generic pharmaceuticals company
- CorePharma LLC, a leading solid-dose generic pharmaceuticals company
- Excelsior Medical Corporation, a leading manufacturer of pre-filled flush syringes and syringe pump systems
- Instrumed International, a leading manufacturer and distributor of premium-quality, precision surgical instruments.
RoundTable’s previous investments include Sabex Holdings Ltd., sold in 2004 to Sandoz for $565 million, and American Medical Instruments Holdings, Inc., sold earlier this year to Angiotech Pharmaceuticals, Inc. for $785 million.
About RoundTable Healthcare Partners
RoundTable Healthcare Partners, Lake Forest, IL, is an operating-oriented private equity firm focused exclusively on the healthcare industry. RoundTable partners with companies that can benefit from its extensive industry relationships and proven operating and transaction expertise. The partners of RoundTable have significant experience in managing, operating, acquiring and financing multibillion-dollar diversified healthcare companies. RoundTable currently manages two equity funds totaling $900 million in capital. More information about RoundTable Healthcare Partners and its investments can be found at www.roundtablehp.com.
About MedAssist Holding, Inc.
Founded in 1989, MedAssist is a privately held company providing a continuum of revenue management services to healthcare providers throughout the country. MedAssist utilizes a platform built on the dignity of patients to deliver a series of services that help free healthcare organizations to focus on patient care. MedAssist is recognized as an industry leader in delivering the professional excellence required to improve cash flow, maximize reimbursement and reduce bad debt. The Company’s Eligibility Services Group assists self-pay patients in locating and obtaining public assistance, converting them to reimbursable accounts. MedAssist’s Receivables Management Group manages self-pay receivables prior to accounts becoming delinquent, maximizing the probability of prompt account resolution. Argent Healthcare Financial Services, a wholly owned subsidiary of MedAssist, focuses on bad debt collections, and utilizes a healthcare operating environment to assure flexibility and social sensitivity. MedAssist’s operations include 29 regional offices, a strong national infrastructure, and the latest technology. For more information on MedAssist please visit www.medassistgroup.com.
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