GTCR has made an undisclosed investment in Riverchase MSO LLC. Houlihan Lokey provided financial advice to GTCR on the transaction while William Blair & Company served as financial adviser to Riverchase. Based in Fort Myers, Florida, Riverchase is a dermatology practice.
Chicago, IL – October 14, 2016
GTCR, a leading private equity firm, announced today that it has completed an investment in Riverchase MSO, LLC (“Riverchase” or the “Company”), a leading dermatology practice management business headquartered in Fort Myers, Florida.
Founded in 2000, Riverchase has grown to become one of the largest dermatology practice management platforms in the U.S., with 25 locations in Florida. Riverchase provides general, surgical and cosmetic dermatology, along with related pathology lab services, all while maintaining a strident focus on clinical quality.
As part of the transaction, GTCR partnered with Founder and CEO, Andrew Jaffe, M.D., and the current Riverchase management team to continue to grow the Company and expand its geographic footprint. GTCR expects to commit additional equity capital to fund future acquisitions and organic growth initiatives.
“Dr. Jaffe and his team have built a unique, high-quality dermatology practice that is well positioned to expand and serve the increasing demand for dermatology services,” said GTCR Managing Director Sean Cunningham. ”With the increasing prevalence of skin cancer, an aging population and broader insurance coverage, we expect to see continued growth in this part of the healthcare market, and we’re excited to partner with Riverchase for its next chapter of growth,” he added.
Andrew Jaffe, M.D., said, “Riverchase will continue to expand to serve our patients with an unwavering focus on high quality care and patient experience. GTCR brings significant resources and experience to support us through this next phase of our long-term growth strategy, geographically broadening patients’ access to superior dermatology services. We’re excited to partner with GTCR to further develop Riverchase.”
Dean Mihas, Managing Director at GTCR, added: “We are very excited to work with Dr. Jaffe as we look to build upon the strong foundation he has created at Riverchase over the last 16 years. This transaction is an excellent example of leveraging GTCR’s experience in investing in multi-site healthcare businesses and demonstrates our continued enthusiasm for investing in market-leading, consumer-driven provider groups.”
GTCR’s investment in Riverchase was funded from GTCR Fund XI, a private equity fund raised in 2014 with $3.85 billion of limited partner equity capital commitments. Golub Capital, NXT Capital and Northwestern Mutual provided financing for the transaction. Houlihan Lokey served as financial advisor to GTCR, Kirkland & Ellis LLP provided legal counsel and PricewaterhouseCoopers served as accounting advisor. William Blair & Company served as financial advisor to Riverchase and DLA Piper provided legal counsel.
Founded in 1980, GTCR is a leading private equity firm focused on investing in growth companies in the Financial Services & Technology, Healthcare, Technology, Media & Telecommunications and Growth Business Services industries. The Chicago-based firm pioneered The Leaders Strategy™ – finding and partnering with management leaders in core domains to identify, acquire and build market-leading companies through transformational acquisitions and organic growth. Since its inception, GTCR has invested more than $12 billion in over 200 companies. For more information, please visit www.gtcr.com.
Riverchase is a leading dermatology practice management business providing general, surgical, and cosmetic dermatology services along with related pathology lab services. Riverchase Dermatology and Cosmetic Surgery was founded in Naples, Florida in 2000, by Andrew T. Jaffe, MD. The Company is the largest and most comprehensive Dermatology practice in Southwest Florida, treating all types of skin disorders and cosmetic concerns with the latest advances in medicine. Riverchase associates include many of the most accomplished clinicians in their respective fields. The Company strives to provide excellence in medical care while treating each patient like family. Riverchase is headquartered in Ft. Myers, Florida. For more information, visit http://www.riverchasedermatology.com