Carlyle-backed healthcare tech provider CNSI to merge with tech care management firm Kepro

Kepro is a portfolio company of Apax Partners, which will be exiting its investment through this transaction.

  • The transaction is expected to close in December 2022
  • Todd Stottlemyer, CNSI’s CEO, will lead the new company while Dr. Susan Weaver, Kepro’s President and CEO, will become president
  • The newly merged company will rebrand in early 2023

McLean, Virginia-based CNSI, a provider of healthcare tech products and solutions and Nashville-based Kepro, a provider of technology-enabled care management, quality oversight, and clinical assessment services have agreed to merge.

CNSI is backed by Carlyle. Kepro is a portfolio company of Apax Partners, which will be exiting its investment through this transaction.

The transaction is expected to close in December 2022.

Todd Stottlemyer, CNSI’s CEO, will lead the new company while Dr. Susan Weaver, Kepro’s President and CEO, will become president. Both leaders will sit on the company’s board of directors. The newly merged company will rebrand in early 2023.

Dayne Baird, CNSI board member and managing director at Carlyle, said in a statement, “We are incredibly excited by the combination of these two highly differentiated businesses and the opportunity to partner with Todd, Susan, and their talented leadership teams. The combination brings CNSI’s leading health technology capabilities together with Kepro’s clinical expertise and unique service offerings, allowing the company to better serve its clients and improve care quality and health outcomes.”

Latham & Watkins LLP acted as legal advisor to CNSI and Carlyle. Centerview Partners acted as an investment advisor to Kepro and Apax, and Kirkland & Ellis served as legal advisor to both Kepro and Apax.

Carlyle has $369 billion of assets under management as of September 30, 2022.

Apax Partners has raised and advised funds with aggregate commitments of more than $60 billion.