Brazos Private Equity Partners LLC has agreed to sell Healthcare Solutions Inc to Catamaran Corp. No financial terms were disclosed for the transaction that is expected to close in the second quarter of this year. Harris Williams & Co. and J.P. Morgan Securities LLC are providing financial advice to Healthcare Solutions on the transaction. Healthcare Solutions is a medical cost management solutions provider to customers in the workers’ compensation and auto liability markets.
Dallas, Texas, February 26, 2015 — Brazos Private Equity Partners, LLC (“Brazos”), a leading Dallas-based private investment firm, today announced that it has agreed to sell its portfolio company Healthcare Solutions Inc. (“Healthcare Solutions”) to Catamaran Corporation (NASDAQ: CTRX) (TSX: CCT), a leading provider of pharmacy benefit management services and technology.
Healthcare Solutions delivers integrated medical cost management solutions to over 800 customers in the workers’ compensation and auto liability markets. The company’s clinical‐ and technology‐based services include pharmacy benefit management, specialty healthcare services, PPO networks, medical bill review, case management and Medicare set‐aside services. Utilizing market‐leading technology, Healthcare Solutions delivers demonstrated benefits and savings complemented by deep industry expertise.
Jeff Fronterhouse, Co-Chief Executive Officer and Co-Founding Partner of Brazos, said, “We are very pleased with our successful investment in Healthcare Solutions. The company has developed into a market-leading health services company delivering network product solutions and managed care services to the workers’ compensation and auto liability markets. Under our ownership and in partnership with management, revenues have grown from $80 million to approximately $450 million and the company has successfully completed and integrated three strategic add-on acquisitions that significantly expanded its suite of products and services. The transaction, which came about due to a preemptive approach made by Catamaran, will result in a great outcome for the company, management, and the shareholders. We are particularly appreciative of the leadership team at Healthcare Solutions. They have done an outstanding job in building the company into a market leader and we wish them continued success as part of Catamaran.”
Completion of the transaction is expected in the second quarter of 2015, subject to satisfaction of customary closing conditions.
Harris Williams & Co. and J.P. Morgan Securities LLC are serving as financial advisors and Weil, Gotshal & Manges LLP is serving as legal counsel to Healthcare Solutions.
About Brazos Private Equity Partners, LLC
Brazos Private Equity Partners is a Dallas-based private equity firm that currently manages approximately $1 billion of equity capital. Brazos focuses on investments in middle-market companies in the consumer, healthcare, commercial & industrial, and business services sectors with enterprise values up to $500 million. Brazos has been one of the most active middle-market private equity investment firms over the past decade, having completed 80 acquisitions representing approximately $3 billion in total transaction value.
For additional information about Brazos, please visit the firm’s website at www.brazospartners.com.