Serent Capital, the California-based private equity firm, invested in Cardon Healthcare Network, a Texas-based provider of patient account management for hospital systems. Specifics on the deal were not publicized; David Kennedy, co-founder of Serent, worked on the transaction from the PE firm.
Serent Capital, a private equity firm focused on investing in profitable, high growth services businesses, today announced an investment in Cardon Healthcare Network (“Cardon” or the “Company”), a leading provider of Medicaid eligibility and revenue cycle management services for hospitals. Founded in 1997, Cardon has grown to become one of the leading independent third party eligibility providers in the country, working with over 330 hospitals in 33 states to help their patients become eligible for coverage under Medicaid and other third party programs.
“We are very excited about Serent’s decision to invest with us. Partnering with them truly sets the stage for the next phase of our company’s growth and innovation,” said co-founder Doug Cardon. “Serent’s team brings a wealth of experience as executives of and advisors to successful growth businesses. We believe this partnership will enable us to expand and strengthen the value our clients receive across all our service lines. Innovative and cost-effective hospital account management services that deliver dollars are what our clients need. We want to remain the best at it. This investment is key to that goal.” Doug Cardon and the executive team at Cardon will continue in active leadership roles, and new executive team members will likely be added in the coming months to support the Company’s growth.
Serent has spent considerable time over the past year evaluating opportunities in the hospital revenue cycle management industry. “With hospitals facing intense pressure to recover revenue from third party payer sources, there will continue to be growing demand for effective outsourced services, particularly in the area of Medicaid eligibility,” said David Kennedy, co-founder and General Partner of Serent Capital. “With its exceptional service delivery platform and talented management team, Cardon has established itself as a clear leader in its field. We look forward to working with Cardon to drive further growth and service innovation in the years ahead.”
About Cardon Healthcare Network
Headquartered in The Woodlands, Texas, Cardon Healthcare Network is one of the leading providers of third party eligibility and patient account management services for hospitals throughout the country. Cardon works closely with its hospital clients in helping their patients become eligible for Medicaid and other third party programs to help cover their cost of care. In addition, Cardon provides a range of other specialized revenue cycle management services aimed at helping hospitals reduce their levels of uncompensated care and improving cash flow. For more information on Cardon, please visit www.cardonhealthcare.com.
About Serent Capital
Serent Capital invests solely in growing, profitable, services businesses. We invest in great businesses that are already successful, delivering compelling solutions that address their customers’ needs. As those businesses grow and evolve, the opportunities and challenges that they face change continually. At Serent Capital, we understand those challenges, as we’ve seen them first-hand. Our principals’ experience includes roles as CEOs, strategic advisors, and board members to successful, growing businesses. By bringing our experience and capital to bear, we help growing businesses thrive. We are highly selective, choosing to invest in only a handful of businesses each year. Our selectivity ensures that all our companies receive the attention and expertise that they need. More information can be found at www.serentcapital.com.