Univita Health said Tuesday it secured a $40 million credit facility from Genstar Capital and a private lender. Miramar, Fla.-based Univita provides post-acute and home healthcare solutions. GLC Advisors & Co. acted as financial advisor to Univita.
MIRAMAR, Fla.–(BUSINESS WIRE)–Univita Health, the nationwide leader in post-acute and home healthcare solutions, has secured a credit facility of $40M from Genstar Capital and a private lender. The credit facility will be used to fund Univita’s future growth supporting the expansion of the company’s health plan partners.
In 2014, Univita added 1 million Medicaid members in Florida. Univita manages care for more than 5 million health plan members and provided over 3.2 million home health, durable medical equipment and infusion pharmacy visits in 2014.
“We are pleased to continue our longstanding relationship with Genstar Capital,” said Michael Muchnicki, President and Chief Executive Officer of Univita Health. “Univita is the leader in homecare innovation. We look forward to growing and expanding with proven solutions that are changing the way patients recover and heal in the comfort of their homes.”
“Genstar is committed to advancing Univita’s mission of transforming the healthcare experience in the home with trusted and caring solutions,” said Robert J. Weltman, Managing Director of Genstar Capital. “Today’s announcement reaffirms our commitment to Univita and paves the way for a successful continued partnership with the Univita team.”
Univita specializes in the management and utilization of complex, home health services, DME and infusion pharmacy services, primarily in the government sector. Univita is contracted with more than 20 Medicare Advantage and Medicaid plans.
The home health industry is an $81.6 billion industry, with expected growth as the overall healthcare industry moves toward cost reductions in the acute setting and increased focus on less expensive care in the home.
Health expenditures are projected to grow 6.0 percent per year through 2023, according to the Centers for Medicare and Medicaid Services (CMS). The growth is largely driven by the implementation of the Affordable Care Act, faster projected economic growth and the aging of the population. Medicare spending alone is expected to rebound by 7.3 percent per year due to increased enrollment by baby boomers.
Univita’s unique business model and strategic positioning in the key Medicare markets of Florida, Georgia and Tennessee are well attuned to meeting the projected growth trajectory of government health programs.
GLC Advisors & Co. acted as financial advisor to Univita and Latham & Watkins provided legal counsel.
About Univita Health
Univita is the nationwide leader in home healthcare solutions. We work collaboratively with health plans, health systems and physicians to improve quality and reduce hospital readmissions, while focusing on the health and well-being of patients in their homes. Our innovative home care model delivers evidence based, high quality care for individuals, including Medicare, Medicaid and commercial plan members. We offer a comprehensive home health program, which includes nursing and therapy services, durable medical equipment, infusion pharmacy services and our innovative Re-admission Reduction Solution. To learn more, visit www.univitahealth.com.
About Genstar Capital, LLC
Genstar Capital (www.gencap.com) is a leading private equity firm that has been actively investing in high quality companies for more than 20 years. Based in San Francisco, Genstar works in partnership with its management teams and its network of operating executives and strategic advisors to transform its portfolio companies into industry-leading businesses. Genstar manages funds with total capital commitments of over $3 billion, and targets investments focused on selected sectors within the healthcare, software, industrial technology and financial services industries.