Carlyle’s MedRisk explores sale, New Mountain shops large GP-led deal, and the largest M&A deal of the year 

MedRisk, the Carlyle-backed provider of physical rehab services for the workers’ compensation industry, is up for sale, while S&P Global buys IHS Markit at a $44 billion enterprise value.

Good morning!

Hope everyone soaked in the long holiday weekend, however traditional or non-traditional you managed.

January often marks a period in which many healthcare businesses kick off sale processes or bankers and management teams pre-market portfolio companies. Fireside chats are held back-to-back at the famous J.P. Morgan Global Healthcare Conference in San Francisco. 

But with the Woodstock of healthcare going virtual, why wait to kick off your sale process when you can hop on Zoom at any hour of any day? Already we’re seeing some businesses that see no reason. (I assume the same goes for non-healthcare assets). 

One example is Carlyle Group‘s MedRisk, a provider of physical rehab services for the workers’ compensation industry. The business expects to field first round bids before year-end with the aim of signing a deal early 2021, sources familiar with the process told me recently.

MedRisk has continued to grow and gain market share under Carlyle’s almost three-year hold, while its primary competitor, One Call, has struggled.

One Call’s former PE owner Apax Partners lost control of the debt-laden business more than a year ago to avoid bankruptcy, handing over the keys to existing lenders KKR and GSO Capital Partners.

Check out my full report for more detail.

‘One of the largest GP-led deals’: New Mountain Capital is running a large process to move assets out of its 2007 fund (Fund III) and into a newly-created pool that will give the GP more time to manage the investments, three sources told Buyouts.

It’s not clear exactly which assets are in Fund III. New M­­­ountain began raising its fourth fund in 2013 and closed the pool on about $4.1 billion in 2014.

Read Chris Witkowsky‘s story for more info.  

2020 record: Outside of the private equity universe, S&P Global has agreed to acquire IHS Markit for a total enterprise value of $44 billion, marking the largest M&A deal of the year so far. The combined financial data services giant produces pro forma annual revenue of more than $11.6 billion, the announcement said.

That’s it for me today. As always, write to me at springle@buyoutsinsider.com with any tips, feedback or just to say hello.

Note to Readers: It’s that time of year … for the 21st time, the editors of PE Hub and Buyouts honor exceptional buyouts with our Deal of the Year Awards.

Winners are chosen in seven categories: Deal of the Year, Large-Market Deal of the Year, Middle-Market Deal of the Year, Small-Market Deal of the Year, Turnaround of the Year, International Deal of the Year, and Secondaries Deal of the Year.

Go here for more information and to read about rules and methodology. Also check out past winners. Last year, New Mountain took the crown with its exit of Equian.

If you have additional questions, email Private Equity Editor Chris Witkowsky at cwitkowsky@buyoutsinsider.com.