Independent Living Systems seeks recap

  • Led by Founder, Chairman and CEO Nestor Plana
  • Previous investors: Oak Investment Partners, Mansa Capital
  • ILS works with payers to help patients avoid costly hospital and ER visits

Independent Living Systems, which brings customized meals to seniors in their homes and offers care-management services to keep patients out of the hospital, is pursuing a recapitalization, Buyouts has learned.

Moelis is offering financial advice to the founder-owned company, according to three people familiar with the matter.

The Miami company is being marketed off Ebitda of about $6 million to $8 million, one of the people said.

ILS is looking for about $35 million to refinance debt and support a new managed-care contract it won in Florida, the person said.

Founded in 2001, ILS provides specialized home-delivered meals to the elderly, people with special needs, and at-risk populations.

Its nutritional programs can be implemented as a stand-alone benefit or incorporated into an acute long-term care program, its website states.

ILS also provides care-management, managed long-term care services and support, transitional care management and third-party administration services that align with patients’ preference to live and age at home.

The company works with managed-care organizations, government-sponsored plans, health systems, accountable care organizations and employer labor trusts. It aims to reduce healthcare costs by minimizing hospital readmissions, avoiding excessive use of hospital emergency rooms, and creating alternatives to nursing-home placement.

Founder Nestor Plana leads the company as chairman and CEO.

Oak Investment Partners and Mansa Capital recapitalized ILS in January 2012. The former’s successor firm is spinout venture capital fund Oak HC/FT.

Representatives of ILS didn’t immediately return requests for comment, while a Moelis spokesperson declined comment.

Action Item: Learn more about ILS