Riverside’s ARCOS explores sale, KKR files for $1bn SPAC, Blue Ox Healthcare Partners CEO and Blue Wolf-spinout talk strategy

Riverside Company is preparing to sell ARCOS and KKR files for a $1 billion SPAC.

Happy Friday, hubsters!

New opp: Kicking today off, there’s yet another tech asset hitting the auction block. Riverside Company is preparing to sell ARCOS, a maker of crew management, callout and emergency response software, after an eight-year hold, people familiar with the process told PE Hub. ARCOS is built on a newer technology and, as a category leader, technically has no competition, one source noted.

Check out Milana Vinn’s full story on PE Hub.

For Riverside, the process comes as it prepares to put a clinical trial payments technology business Greenphire up for sale this spring, sources told me recently.

Another SPAC: A blank check company sponsored by KKR filed Thursday with the SEC to raise as much as $1 billion in an initial public offering. KKR Acquisition Holdings is teaming up with ex-Gap CEO and the current chairman of Lululemon, Glenn Murphy, to go after a deal in the consumer sector.

The team is tracking themes including digital transformation and e-commerce adoption, health and wellness, value and premiumization, experience over things, and sustainability. Read the S-1 here.

New competition: Covid was a daunting period for new firms as LPs shied away from partnering with first-timers. But fundraising wasn’t the biggest worry for Michael Ranson, who spun out of Blue Wolf Capital in June to launch his own firm.

“I knew the world is not short of capital,” Ranson said, referencing his more than 12 years of fundraising experience at Blue Wolf. “But [it’s short] of good companies.”

Ranson’s New York-based firm, Astara Capital Partners, announced its first platform investment last month, investing in Garlock Printing & Converting, a flexible packaging business specializing in the food and beverage industry.

For Ranson, both Garlock and a new deal on the horizon have proven that execution is among the most crucial factors to success as a new manager. “The interest in our second platform showed that, for teams that can execute, there’s tons of money out there,” Ranson said.

Read Karishma Vanjani’s report for more insights from Ranson.

Playbook: Charles Kennedy, CEO and managing partner at Blue Ox Healthcare Partners, told PE Hub that Sera Prognostics’ partnership with Anthem is the poster child of his firm’s investment strategy – underscoring a new way in which products are coming to market as the industry continues moving towards value-based care.

Together, Anthem and the Blue Ox-backed business have started to enroll patients in a study involving the latter’s diagnostic test – which uses biomarker technology to identify pregnant women who are at higher risk of delivering pre-term.

More insurance companies like Anthem – a leader on this front through its HealthCore subsidiary – are getting involved in real world research, and that model is resonating.

“That’s a real change in how things come to market,” Kennedy said.

Check out my full story here.

That’s it for today. Have a great weekend, and in the meantime, hit me up with feedback, gossip and tips or whatever at springle@buyoutsinsider.com or find me on LinkedIn.

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.