M&A Deal Summary

OMERS Private Equity and Penfund Acquire Gastro Health

On May 19, 2021, private equity firm OMERS Private Equity and mezzanine finance firm Penfund acquired healthcare services company Gastro Health from Audax Private Equity

Acquisition Highlights
  • This is OMERS Private Equity’s 9th and Penfund’s 5th transaction in the Healthcare Services sector.
  • This is OMERS Private Equity’s 24th and Penfund’s 13th transaction in the United States.
  • This is OMERS Private Equity’s 1st and Penfund’s 2nd transaction in Florida.

M&A Deal Summary

Date 2021-05-19
Target Gastro Health
Sector Healthcare Services
Buyer(s) OMERS Private Equity
Penfund
Sellers(s) Audax Private Equity
Deal Type Secondary Buyout

Target

Gastro Health

Miami, Florida, United States
website
Gastro Health is a gastroenterology physician practice management company with 21 centers across South Florida. Gastro Health was founded in 2003 and is based in Miami, Florida.

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Buyer(S) 2

Buyer

OMERS Private Equity

Toronto, Ontario, Canada

Investor Investor Investor Investor Investor

website


Category Private Equity Firm
Founded 1987
PE ASSETS 19.8B CAD
Size Mega
Type Sector Agnostic
DESCRIPTION

OMERS Private Equity, Inc. is the private equity arm of the Ontario Municipal Employees Retirement System. OMERS invests in buyout, venture, and mezzanine funds as well as makes direct private equity investments in North American companies with and enterprise value of $200 million to 1.5 billion. Target sectors include manufacturing, financial and business services, industrial and consumer products, transportation, and technology. OMERS Private Equity was formed in 1987 and is based in Toronto, Ontario.


DEAL STATS #
Overall 47 of 55
Sector (Healthcare Services) 9 of 10
Type (Secondary Buyout) 27 of 33
State (Florida) 1 of 1
Country (United States) 24 of 28
Year (2021) 2 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2021-05-17 Environmental Resources Management

London, United Kingdom

Environmental Resources Management (ERM) is a global provider of environmental, health, safety, risk, and social consulting services. Environmental Resources Management (ERM) was founded in 1871 and is based in London, United Kingdom.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-05-24 International Schools Partnership

London, United Kingdom

International Schools Partnership operates 50 schools across 15 countries, serving more than 45,000 students aged 2-18 years. ISP's growing group of private schools have over 8,000 staff and are located in USA, Canada, Italy, Spain, Switzerland, UK, Chile, Colombia, Costa Rica, Ecuador, UAE, Qatar, Malaysia, Mexico, and Peru. International Schools Partnership was founded in 2013 and is based in London, United Kingdom.

Buy -
Buyer

Penfund

Toronto, Ontario, Canada

Investor Investor Investor Investor Investor

website


Category Mezzanine Finance Firm
Founded 1979
PE ASSETS 2.7B CAD
Size Large
Type Sector Agnostic
DESCRIPTION

Penfund is a private investment firm that provides equity, junior capital, and alternative financing to Canadian-based middle-market companies with EBITDA of at least C$20 million. Penfund can commit up to C$225 million per transaction. Penfund does not have any industry preferences and its investments are generally used to support growth needs, recapitalization, shareholder liquidity, acquisitions, and buyouts. Penfund was formed in 1979 and is based in Toronto.


DEAL STATS #
Overall 27 of 28
Sector (Healthcare Services) 5 of 5
Type (Secondary Buyout) 11 of 12
State (Florida) 2 of 2
Country (United States) 13 of 14
Year (2021) 2 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2021-04-22 Canadian Hospital Specialties

Oakville, Ontario, Canada

Canadian Hospital Specialties manufactures, sells, markets, and distributes disposable medical and surgical products primarily to the Canadian hospital market. Canadian Hospital Specialties is based in Oakville, Ontario.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-06-25 Mister Car Wash

Tucson, Arizona, United States

Mister Car Wash operates car washes and lube centers across the US. The Company, headquartered in Tucson, Arizona services 15+ million vehicles annually.

Sell -

Seller(S) 1

SELLER

Audax Private Equity

Boston, Massachusetts, United States

Investor Investor Investor Investor Investor

website


Category Private Equity Firm
Founded 1999
PE ASSETS 16.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Audax Private Equity is a private equity firm focused on acquiring control positions in a variety of mid to large North American headquartered companies. The Firm segments its activities into lower middle-market and larger scale investing. Within its larger group, Audax targets profitable businesses valued up to $800 million and within its lower middle-market group, the Firm seeks companies valued up to $125 million. Sectors of interest include business services, consumer products/services, financial services, healthcare services, industrial services, software, and technology. Audax has a special interest in businesses that can benefit from a buy and build investment strategy for growth. Audax Private Equity was formed in 1999 and is based in Boston, Massachusetts.


DEAL STATS #
Overall 82 of 97
Sector (Healthcare Services) 8 of 9
Type (Secondary Buyout) 48 of 53
State (Florida) 6 of 7
Country (United States) 78 of 92
Year (2021) 5 of 10
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2021-05-05 Axia Women s Health

Voorhees, New Jersey, United States

Axia Women's Health provides a highly integrated platform of non-clinical business and administrative support services, such as accounting, HR, insurance, IT, and practice management services, to its network of physician practices across the US. Axia has partnered with more than 80 care centers comprising 150 locations and supporting 475,000 patients annually, which offer a wide range of care, including obstetrics, gynecology, laboratory, mammography, urogynecology, fertility, and other sub-specialties. Axia is at the forefront of delivering women's healthcare via a truly integrated model that treats patients across different phases of life, while supporting physicians' clinical autonomy and ability to focus on care. Partners Group will draw on its extensive experience transforming other leading multi-site healthcare businesses to support Axia's patient-centric value creation plan. Key initiatives will include expanding in-demand ancillary services; improving patient experience, outcomes and engagement; and continued accretive M&A in both its existing geographical footprint and new regions. Axia Women's Health was formed in 2017 and is headquartered in Voorhees, New Jersey.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-06-01 Alliance Ground International

Miami, Florida, United States

Alliance Ground International is a North American provider of specialized air cargo and ramp handling services to the aviation industry. The company provides on-airport handling, warehousing, cold storage, pallet buildup/breakdown, mail sorting, and aircraft loading and unloading services to over 80 air carrier customers from its strategic operating footprint of 33 facilities at 21 airports across the United States. AGI is headquartered in Miami, Florida.

Buy -