Bain Capital Acquires Nation’s Largest Pediatric Home Health Provider

After speculation earlier this year that Epic Health Services could be acquired for as much as $1 billion, a deal has been announced. Epic, a national home health care services and pediatric skilled nursing company, has signed a definitive agreement to be acquired by Bain Capital Private Equity, a global investment firm.

Financial details were not disclosed. Epic Health Services declined to comment on the purchase price of the acquisition.

Epic is the nation’s largest pediatric-focused home care company, and also provides adult home care services, including skilled nursing, behavioral health and adult therapy.

Under the acquisition, Epic will still be led by its current management team, under the leadership of President and CEO Chris Roussos. It is currently owned by Webster Capital, a private equity firm that acquired Epic in 2010.

“Through our experience investing across the health care value chain, we have seen that home health care is mission critical to yielding better health care outcomes, and we are excited to work with the Epic Health Services team to extend the company’s comprehensive value proposition to patients and families,” Chris Gordon, a managing director at Bain Capital Private Equity, said in a statement.

Based in Dallas Epic Health grew from its 2011 founding as a single state, single service line to a full continuum of home health care adult and pediatric services. It currently operates in 21 states and reached nearly 43,000 patients in 2015.

Since becoming a portfolio company of Webster Capital in 2010, the company rebranded to its current name and made more than a dozen acquisitions.

The acquisition by Bain Capital is expected to close in the fist quarter of 2017.

“We look forward to working with Epic Health Services to continue its strong track record of growth and delivery of cost effective solutions to a patient population with significant needs,” Devin O’Reilly, a managing director at Bain Capital, said in a statement.

Webster Capital hired Goldman Sachs Group Inc. to explore the sale of the company earlier this year. Goldman Sachs & Co. served as the exclusive financial advisor, and Goodwin Procter LLP acted as legal counsel to Epic Health Services and Webster Capital.

Barclays, BMO Capital Markets and RBC Capital Markets LLC served as financial advisors to Bain Capital Private Equity, and are providing committed financing for the transaction. Kirkland & Ellis LLP is serving as legal counsel, and PwC LLP is acting as accounting advisor to Bain Capital.

Written by Amy Baxter