M&A Deal Summary

Water Street Healthcare Partners Acquires CareCentrix

On August 21, 2008, private equity firm Water Street Healthcare Partners acquired healthcare services company CareCentrix from Gentiva Health Services for 147M USD

Acquisition Highlights
  • This is Water Street Healthcare Partners’ 4th transaction in the Healthcare Services sector.
  • This is Water Street Healthcare Partners’ 3rd largest (disclosed) transaction.
  • This is Water Street Healthcare Partners’ 11th transaction in the United States.
  • This is Water Street Healthcare Partners’ 1st transaction in Connecticut.
Investment Fate
  • CareCentrix was recapitalized in 2011.
  • CareCentrix was sold to a publicly-traded strategic buyer in 2021.

M&A Deal Summary

Date 2008-08-21
Target CareCentrix
Sector Healthcare Services
Buyer(s) Water Street Healthcare Partners
Sellers(s) Gentiva Health Services
Deal Type Divestiture
Deal Value 147M USD

Target

CareCentrix

Hartford, Connecticut, United States
CareCentrix provides specialty benefit management services to health plans, improving quality and reducing costs in several areas of home-based healthcare such as home nursing, home medical equipment, home drug infusion, sleep diagnostic tests and hospital readmissions. CareCentrix was founded in 1996 and is based in Hartford, Connecticut.

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Buyer(S) 1

Buyer

Water Street Healthcare Partners

Chicago, Illinois, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 2005
PE ASSETS 6.0B USD
Size Mega
Type Sector Focused
DESCRIPTION

Water Street is a specialist private equity firm that targets investments in healthcare companies. Specific areas of interest within healthcare include diagnostic devices, medical products, pharmaceutical services, specialty distribution, specialty pharmaceuticals, and specialty services. Water Street targets non-core units of larger corporations and private middle-market companies. Transactions are typically valued between $50 and $500 million. Water Street does not invest in biotechnology, traditional healthcare facilities (hospitals, nursing homes) or early-stage companies without positive cash flow. Water Street was formed in 2005 and is based in Chicago, Illinois.


DEAL STATS #
Overall 11 of 50
Sector (Healthcare Services) 4 of 10
Type (Divestiture) 3 of 7
State (Connecticut) 1 of 1
Country (United States) 11 of 47
Year (2008) 2 of 3
Size (of disclosed) 3 of 7
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2008-06-05 Sarnova

Dublin, Ohio, United States

Sarnova is a U.S. specialty distributor of healthcare products for the emergency preparedness and acute care markets. The company is comprised of four major business units: Bound Tree Medical, Cardio Partners, Emergency Medical Products and Tri-anim Health Services. Sarnova was founded in 2008 and is based in Dublin, Ohio.

Buy $75M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2008-10-01 HealthPlan Holdings

Tampa, Florida, United States

HealthPlan Holdings, Inc. (HealthPlan Services) is a provider of technology solutions to health insurance and managed care industries.

Buy -

Seller(S) 1

SELLER

Gentiva Health Services

Atlanta, Georgia, United States

Category Company
Founded 1999
Sector Healthcare Services
Employees17,200
Revenue 1.7B USD (2013)
DESCRIPTION

Gentiva Health Services, is a provider of home health, hospice, and community care services in the United States.


DEAL STATS #
Overall 1 of 2
Sector (Healthcare Services) 1 of 2
Type (Divestiture) 1 of 2
State (Connecticut) 1 of 1
Country (United States) 1 of 2
Year (2008) 1 of 1
Size (of disclosed) 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2008-02-05 Home Health Care Affiliates

Cordova, Tennessee, United States

Home Health Care Affiliates, Inc. operates Medicare certified home health agencies. It provides home care services.

Buy $55M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2010-08-17 Odyssey HealthCare

Atlanta, Georgia, United States

Odyssey HealthCare is a provider of hospice care in the US in terms of both average daily patient census and number of locations.

Buy $909M