On December 9, 2020, Care Hospice (“Care”) completed a recapitalization. Care is a leading national provider of hospice services, serving over 3,600 patients across 11 states. The Company has successfully developed a high-quality, integrated approach to care which utilizes local agency brands while leveraging the efficiency and compliance capabilities of a much larger organization. Martis Capital recapitalized Care in 2017, partnering with its founder and management team.
Martis Capital announced today a growth equity investment in DCN Dx, a lateral flow diagnostics developer based in Carlsbad, CA.
Charlie Mamrak will join the DCN Dx executive team as CEO. He was most recently the CEO of SeraCare Life Sciences.
“DCN Dx has established a track record of success by consistently solving its clients’ problems,” said Mamrak. “The team’s deep scientific expertise in lateral flow technology is unmatched in the industry.”
DCN Dx has been a leading provider of contract development services for clients seeking to explore, develop, and commercialize rapid diagnostic tests since 2006. The company supports an array of customers including global diagnostics manufacturers, nonprofits seeking tests for low-resource settings, and startups launching diagnostic-based products. Over the past 15 years, DCN Dx has successfully developed more than 100 rapid diagnostic tests for its customers.
“We’re proud of the support we’ve provided to our customers and the role we’ve played in developing their market-leading products,” said Brendan O’Farrell, Ph.D., DCN Dx’s president and cofounder. “Our clients’ products can be found in hospitals, homes, clinics, and other settings around the globe and have been used by millions of patients at the point of care. The funding from Martis Capital advances our mission and will help us expand our capabilities into the future.”
“DCN Dx is at the forefront of an exciting transformation in point-of-care diagnostics, especially given the challenges the world faces today,” said Owen Davis, a partner at Martis Capital. “Our partnership with DCN Dx will enable the company to accelerate its growth while allowing it to retain the distinctive features that have made it successful to date.”
Pegasus Capital and TM Capital advised on the transaction. Financial terms have not been disclosed.
Since its founding more than 15 years ago, DCN Dx has been committed to furthering the rapid diagnostic test market through the continued evolution of technologies and applications related to lateral flow assays. For more information about DCN Dx, visit dcndx.com.
Martis Capital is a private equity firm focused exclusively on the healthcare industry. The Martis team manages more than $1.2 billion of equity capital. It is currently investing out of its third fund. With offices in San Francisco, Calif., and Washington, DC, Martis seeks to invest in middle-market growth companies that provide innovative and cost-effective products and services within targeted segments of the North American healthcare services and information technology sub-sectors. For more information visit martiscapital.com.
David Zhang joined Martis Capital as a Senior Associate in the San Francisco, CA office. Previously, David worked at Welsh, Carson, Anderson & Stowe focused on middle-market buyouts. Prior to WCAS, David worked at Calera Capital. He started his career in Investment Banking at Barclays.
David received a Bachelors in Business Administration from the Stephen M. Ross School of Business at the University of Michigan.
Behavioral Health Leaders Combine to Provide Best-in-Class Technology and Services
Nashville, TN and Rockville, MD – August 24, 2020 – Warburg Pincus, a leading global private equity firm focused on growth investing, and Martis Capital, a private equity firm focused exclusively on the healthcare sector, have agreed to merge their respective portfolio companies, Qualifacts and Credible Behavioral Health. The combination of these best-in-class technology companies will elevate the experience of behavioral health and human service providers while positioning the combined company for continued innovation and thought leadership in the market.
The company will be led by David Klements, CEO of Qualifacts. Matthew Dorman, CEO of Credible, will continue as a strategic advisor to the company.
“Qualifacts and Credible are highly regarded in the behavioral health software industry. This transformational merger will deliver more value to the behavioral health customers we serve while creating outstanding opportunities for our employees. Both companies share a mission-driven culture and a commitment to operational excellence. I look forward to leveraging best practices as we continue to grow as one firm,” said Mr. Klements.
Combined, the company serves more than 800 behavioral health agencies nationwide, significantly increasing the scale and scope of its products and capabilities.
“We have long admired the strength and capabilities of the Credible platform and are excited by the significant opportunities that will result from this groundbreaking merger,” said Andrew Park, Managing Director, Warburg Pincus. “We look forward to our partnership and to supporting the combined company in its next phase of growth and innovation,” added Amr Kronfol, Managing Director, Warburg Pincus.
“We are excited to bring together two leading providers of software services to the behavioral health market, and are looking forward to partnering with Qualifacts, its management team, and Warburg Pincus to support the development and delivery of mission-critical technology to the industry,” said Shahab Vagefi, Partner, Martis Capital.
Qualifacts is one of the most trusted technology providers of Electronic Health Records (EHR) for behavioral health and human services organizations. As a strategic partner, Qualifacts and its EHR platform, CareLogic®, helps customers focus on what is most important – client care – by optimizing efficiency and productivity while also keeping them ahead of the ever-changing regulatory landscape. For more information, visit www.qualifacts.com.
With over 20 years of innovation and experience, Credible is committed to improving the quality of care and lives in behavioral health for clients, families, providers, and management. Since its founding in June 2000, Credible has Partnered with over 475 Partner Agencies in 38 states. Credible is proud to provide secure, proven, easy-to-use, web-based software for clinic, community, residential, and mobile care providers leveraging a true Partnership approach. For more information, please visit www.credibleinc.com.
Warburg Pincus LLC is a leading global private equity firm focused on growth investing. The firm has more than $53 billion in private equity assets under management. The firm’s active portfolio of more than 185 companies is highly diversified by stage, sector, and geography. Warburg Pincus is an experienced partner to management teams seeking to build durable companies with sustainable value. Founded in 1966, Warburg Pincus has raised 19 private equity funds, which have invested more than $84 billion in over 900 companies in more than 40 countries. Since inception, the firm has invested more than $10 billion in more than 150 healthcare companies and over $17 billion in more than 320 technology companies. The intersection of these two sectors is a key area of focus for the firm with the current portfolio including WebPT, Modernizing Medicine, Intelligent Medical Objects, Experity, Helix, and SOC Telemedicine. The firm is headquartered in New York with offices in Amsterdam, Beijing, Berlin, Hong Kong, Houston, London, Luxembourg, Mumbai, Mauritius, San Francisco, São Paulo, Shanghai, and Singapore. For more information please visit www.warburgpincus.com.
Martis Capital is a private equity firm focused exclusively on the healthcare industry. The Martis team manages more than $1.2 billion of equity capital and is currently investing out of its third fund. With offices in San Francisco, CA, and Washington, DC, Martis seeks to invest in middle market growth companies that provide innovative and cost-effective products and services within targeted segments of the North American healthcare services and information technology sub-sectors. For more information please visit www.martiscapital.com.
Warburg Pincus
Sarah McGrath
(212) 878-6378
sarah.mcgrath@warburgpincus.com
Martis Capital
Andrea Pekala
(202) 621-8185
apekala@martiscapital.com
Graham Garzon joined Martis Capital as an Associate in the San Francisco, CA office. Previously, Graham worked in Investment Banking in the Mergers & Acquisitions group at BTIG. Graham received a BA in Economics from Occidental College.
Jack Stoney joined Martis Capital as an Associate in the Washington, D.C. office. Previously, Jack worked in Investment Banking at Coker Capital Advisors, the Healthcare division of Fifth Third Securities. Jack received a BS in Finance from the Mcintire School of Commerce at the University of Virginia.
Martis Capital, a middle-market private equity firm focused exclusively on the healthcare industry, today announced that Chris Beall was promoted to Principal from Director.
Based in Washington DC, Chris currently serves on the Board of Directors of Altruista Health, Care Hospice, and Healthy Living Network. Prior to joining Martis in 2014, Chris was an Associate at Quad-C Management and previously worked in investment banking in the Retail & Consumer Group at Citi. He received a BS in Commerce from the McIntire School of Commerce at the University of Virginia.
With offices in San Francisco, CA, and Washington, DC, Martis Capital manages more than $1.2 billion of equity capital and is currently investing out of its third fund. For more information, please visit the fund’s website at https://www.martiscapital.com/.
Credible Behavioral Health (“Credible”), a portfolio company of Martis Capital, is extending immediate assistance to behavioral health agencies challenged by the COVID-19 crisis. In partnership with Change Healthcare, one of the nation’s leading revenue cycle management providers with more than 2,000 payer relationships, Credible is offering a 90-day free trial of certain aspects of its market-leading EHR software solution, which can be implemented in as little as three days. This will allow behavioral health providers of any scale facing current challenges with remote staff, paper-based or telehealth documentation, or billing complexities to move onto the Credible platform to access a secure, proven, and easy to use solution for simplified documentation, efficient billing, and full client / family portal access. Credible and Change Healthcare mutually recognize the overwhelming unmet need for behavioral health providers to have a system they can easily document, bill, and get paid for services rendered, and both organizations are committed to helping improve these aspects which have been impacted by the current COVID-19 crisis.