NEW YORK, Feb. 23, 2021 /PRNewswire/ -- CVC Capital
Partners ("CVC") announced today that CVC Fund VII has signed a
definitive agreement to acquire a majority interest in MedRisk
("MedRisk" or "the Company"). MedRisk is a leading provider of
managed physical medicine services for the workers' compensation
industry in the U.S. The Carlyle Group, MedRisk's current majority
owner, will retain a significant stake and maintain joint control
in partnership with CVC. The MedRisk team, including founder
Shelley Boyce, Executive Chairman
Mike Ryan and CEO Ken Martino, will reinvest in the
Company.
CVC joins up with existing investor Carlyle to form a new
partnership with MedRisk and to accelerate growth and continue
delivering best-in-class care to injured workers
Founded in 1994 and headquartered in King of Prussia, Pennsylvania, MedRisk
consistently delivers clinically superior patient outcomes via the
coordination and active management of physical medicine services
for workers' compensation patients. Today, the Company manages
physical therapy, occupational therapy, and chiropractic treatments
for more than 500,000 injured workers annually through a nationwide
network across 49 states and Washington,
D.C.
"MedRisk has an excellent reputation and a proven ability to
improve access to high-quality care, which has enabled the Company
to become the industry leader in managed physical therapy for
injured workers," said Fazle Husain,
Partner at CVC Capital Partners. "We look forward to working
closely with the talented team at MedRisk and our friends at
Carlyle to continue the compelling growth trajectory of the Company
while ensuring that patients continue to receive the highest
quality service."
MedRisk is well positioned for the next chapter of its growth
due to the unrivalled level of care it delivers to injured workers,
and ability to deliver best-in-class service to all stakeholders
across the healthcare ecosystem, including patients, employers,
physicians, case managers, insurance carriers, third party
administrators and network providers.
MedRisk Executive Chairman Mike
Ryan said, "Partnering with CVC, given their extensive
network and significant financial resources, will fuel our next
stage of growth. They have a deep understanding of the healthcare
sector and a strong record of helping to build market-leading
companies, while maintaining the highest levels of quality."
"We're excited to welcome CVC as a new partner that is well
aligned with our mission and vision for the Company. This
partnership, along with the continued support of Carlyle, enables
MedRisk to strengthen our commitment to existing customers while
pursuing greater scale in our operations," added CEO Ken Martino.
"We are incredibly proud of MedRisk's growth journey over the
past three years of our partnership and its exceptional management
team in building an innovative company with a customer-centric and
service-oriented focus," added William
McMullan, Partner at Carlyle. "With significant business
momentum and strong industry tailwinds in the physical medicine
market, we have great confidence in the company's continued
success. We look forward to working closely with CVC and the
management team to support this industry-leading franchise in its
next chapter of growth."
The transaction is expected to close in the second quarter of
2021, subject to customary closing conditions and receipt of
required regulatory approvals. Centerview Partners and Truist
Securities acted as financial advisors to MedRisk and Carlyle and
Debevoise & Plimpton LLP as their legal advisor. White &
Case LLP acted as legal advisor for CVC Capital
Partners. Equity capital for the investment will come from CVC
Fund VII and Carlyle Partners VI.
Notes to editors
About CVC Capital Partners
CVC is a leading private
equity and investment advisory firm. Founded in 1981, CVC today has
a network of 23 offices and over 550 employees throughout
Europe, Asia and the US. To date, CVC has secured
commitments of over US$160 billion from some of the world's
leading institutional investors across its private equity and
credit strategies. In total, CVC currently manages approximately
US$109 billion of assets. Today, funds managed or advised by
CVC are invested in over 85 companies worldwide, employing
more than 400,000 people in numerous countries. Together,
these companies have combined annual sales of approximately
US$93 billion. For further information about CVC please
visit: www.cvc.com.
About MedRisk
Based in King
of Prussia, Pennsylvania, MedRisk is the largest managed
care organization dedicated to the physical rehabilitation of
injured workers. MedRisk counts over 191,200 providers in its
network and serves almost 500,000 injured workers every year. It
holds direct contracts with more than 90 percent of the nation's
top workers' compensation insurers and third-party administrators.
MedRisk, which has successfully completed a SSAE 18 SOC Type 1 and
2 examination, ensures high quality care and delivers outstanding
customer service. For more information,
visit www.medrisknet.com.
About The Carlyle Group
The Carlyle Group (NASDAQ:
CG) is a global investment firm with deep industry expertise that
deploys private capital across three business segments: Global
Private Equity, Global Credit and Investment Solutions. With
$246 billion of assets under
management as of December 31, 2020,
Carlyle's purpose is to invest wisely and create value on behalf of
its investors, portfolio companies and the communities in which we
live and invest. The Carlyle Group employs 1,825 people in 29
offices across five continents. Further information is available
at www.carlyle.com. Follow The Carlyle Group on Twitter
@OneCarlyle.
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SOURCE CVC Capital Partners