Yesterday I reported that the auction for medical outsourcer Executive Health Resources was coming down to strategics, but only knew one their identities (Ingenix). Now we’ve got the rest of them (drum roll please!)…
MedAssets, McKesson and 3M, along with Ingenix, are vying for Executive Health, sources say. MedAssets, of Atlanta, is being backed by a private equity firm, two sources say, with one pointing to Apax Partners. MedAssets has other ties to the PE world, with Parthenon Capital owning roughly 9%, according to an April proxy filing.
I’m hearing that the offers are coming in at between $1.2 billion and $1.5 billion. “With those numbers, the financial buyers would come back,” one source suggests.
ABRY Partners, which owns Executive Health, put the medical outsourcer up for sale in late Spring. PE firms have since dropped out. The auction is believed to be in the final stages.
Officials for McKesson and Apax declined comment. MedAssets and 3M could not be reached for comment.