Cortec Group has acquired Greenbelt, Maryland-based CVR Management, a management services provider to clinics that treat varicose and/or spider veins. No financial terms were disclosed. Piper Jaffray provided financial advice to CVR on the transaction.
(New York, NY) – Cortec Group (“Cortec”), a New York private equity firm which invests in middle market healthcare, specialty service, consumer, and distribution businesses, announced that on January 4, 2016, a group led by its affiliate, Cortec Group Fund VI, L.P. (“Cortec Fund VI”), in partnership with management, acquired CVR Management, LLC (“Center for Vein Restoration”, “CVR” or the “Company”). Terms of the transaction were not disclosed.
Headquartered in Greenbelt, MD, CVR provides management services to a network of 43 clinics that provide medical treatment for various grades of chronic venous insufficiency (commonly known as varicose and/or spider veins). The clinics, located through the Mid-Atlantic and Northeastern United States, offer diagnostic and treatment services primarily utilizing ultrasound, sclerotherapy and laser and radiofrequency ablations.
“CVR’s industry-leading reputation was built by its exceptional medical staff, expertise in the treatment of venous disease, and commitment to realizing positive clinical outcomes for each patient the Company treats. This reputation has allowed the Company to expand geographically and generate impressive growth and strong financial performance,” stated Jeffrey A. Lipsitz, a Managing Partner at Cortec. Jeffrey Shannon, a Partner at Cortec added, “We are looking forward to working with CVR’s outstanding management team and network of physicians to build upon the Company’s successful track record of clinic expansion in CVR’s existing markets and strategically entering new geographies.”
Dr. Sanjiv Lakhanpal, CVR’s founder, President and CEO, who will continue to lead CVR while retaining a significant ownership stake, commented that, “Cortec’s experience with multi-site healthcare businesses and sales and marketing organizations makes them an excellent partner in our next phase of growth.” Dr. Lakhanpal explained, “Cortec also understands CVR’s commitment to provide physicians with the highest levels of support, which allows them to maintain high-quality service and excellent patient outcomes, which is extremely important as we expand our footprint.”
The CVR acquisition represents the first platform investment in Cortec Fund VI, a $1.1 billion fund that closed in May 2015.
Piper Jaffray served as financial advisor to CVR.
About Center for Vein Restoration
CVR is a nationally recognized leader in the treatment of varicose and spider veins. The Company provides management services to 43 vein treatment clinics throughout the MidAtlantic and Northeastern United States with clinics in Maryland, Virginia, New Jersey, New York, Washington DC, Michigan and Pennsylvania. Please visit www.centerforvein.com to learn more.
Founded in 1984, Cortec acquires high value-added, middle-market healthcare, specialty service, consumer, and distribution businesses from owners and management teams who want to work with Cortec to drive growth and improve business fundamentals. Additional information about Cortec can be found at www.cortecgroup.com.