CorroHealth, a leading provider of revenue cycle management (RCM) solutions to health systems and health plans, announced it has signed definitive agreements for a strategic investment from Patient Square Capital (Patient Square), a dedicated health care investment firm. Current shareholders, including investment funds affiliated with global investment firm Carlyle, TT Capital Partners, Sanaka Group, and CorroHealth management, will remain investors, with Patient Square and Carlyle sharing joint control of CorroHealth.
“Since its inception in 2019, CorroHealth has grown into a technology and clinically led health care RCM platform,” said CorroHealth CEO Pat Leonard. “The Patient Square team has a long history of successfully investing in and scaling health care companies. We are pleased to welcome them and look forward to leveraging our investors’ expertise to continue expanding our capabilities and delivering exceptional value to our customers.”
Patient Square Partner Justin Sabet-Peyman said, “We are excited to be partnering with CorroHealth’s management team and investors to build upon CorroHealth’s strong track record of organic and inorganic growth. We have conviction in the attractiveness of the RCM market and believe CorroHealth is well-positioned to continue delivering differentiated tech-enabled solutions to its provider and payer customers.”
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Carlyle has been the majority investor in CorroHealth since 2019 and a predecessor business since 2017. Carlyle Partner and Global Co-Head of Health Care Joe Bress said, “We are tremendously proud of CorroHealth’s evolution since its founding. We consider the future bright for CorroHealth and are committed to supporting CorroHealth’s continued growth and innovation alongside our new and existing partners.”
The transaction is expected to close by the end of the year. Barclays and TripleTree are serving as co-lead financial advisors to CorroHealth; Latham & Watkins is serving as legal counsel to CorroHealth and Carlyle; and Kirkland & Ellis is serving as legal counsel to Patient Square.
CorroHealth is a leading provider of clinically led healthcare analytics and technology-driven solutions, dedicated to positively impacting the financial performance for physicians, hospitals, and health plans.
SOURCE: PRNewswire