Praesidian Capital has sold its $20.4 million stake in Troy, New York-based Etransmedia, a healthcare information technology company. The exit, which was also made with Praesidian’s co-investor, a Kemper Corp subsidiary, was the result of Etransmedia’s acquisition by Formativ Health, a joint venture of Northwell Health and Pamplona Capital. Praesidian first invested in Etransmedia in 2012.
NEW YORK – January 12, 2017 – Praesidian Capital, a leading provider of senior and subordinated capital for small and mid-sized businesses, announced today that it has successfully exited its $20.4 million investment in Etransmedia Technology, Inc. (“Etransmedia,” or the “Company”), a leading healthcare information technology company based in Troy, New York. Praesidian’s exit, along with its co-investor, a subsidiary of Kemper Corporation (NYSE: KMPR), was in concert with a sale of the business. Etransmedia has been acquired by Formativ Health, a joint venture of Northwell Health and Pamplona Capital, based in New York City.
Praesidian made its first investment in Etransmedia in 2012 and then made subsequent investments in 2014 to continue to support the Company’s strategic acquisition strategy.
“Praesidian was a great growth partner for Etransmedia. Their support and willingness to re-invest in the business enabled us to scale the business and achieve great success.” said Vikash Agrawal, Etransmedia’s Executive Chairman and co-founder.
“We are very proud of our Connect2Care® product platform which is the best-of-breed ambulatory platform for the healthcare industry. We achieved a great outcome for all our major stakeholders – shareholders, employees and customers,” added Vikram Agrawal, Etransmedia’s CEO and co-founder.
Jason Drattell, Founder of Praesidian Capital, commented: “Etransmedia is an innovative leader in a highly fragmented industry. It was evident since our initial introduction to the Company that the management team had a clear plan for growth. Their vision and ability to execute on this plan have created significant value, and we appreciate the opportunity to partner with such an impressive management team.”
Tom Duffy, Principal at Praesidian Capital, noted: “Over the past few years, the Company has significantly increased its market share through a combination of organic growth and strategic acquisitions. We are glad that we were able to finance the Company’s growth, and we are very pleased with the outcome.”
About Praesidian Capital
Praesidian Capital is an innovative private investment firm focused on providing senior and subordinated debt along with growth capital to private lower middle market businesses in the United States, United Kingdom, Germany, and selectively in Northern Europe. Praesidian invests in established small and mid-sized companies, often in connection with management buyouts, recapitalizations, and refinancings. Based in New York with an office in London, Praesidian manages nearly $1 billion in committed capital. For more information, visit www.praesidian.com.
The Kemper family of companies is one of the nation’s leading insurers. With $8 billion in assets, Kemper is improving the world of insurance by offering personalized solutions for individuals, families and businesses. Kemper’s businesses collectively offer insurance for home, auto, life, health and valuables; service six million policies; are represented by 20,000 agents and brokers; employ 6,000 associates dedicated to providing exceptional service, and; are licensed to sell insurance in 50 states and the District of Columbia. Learn more about Kemper at Kemper.com.