CHICAGO, IL – June 19, 2012; City Capital Advisors, a results-oriented investment banking firm serving the middle market, announced today that it advised Valence Health, a leading provider of clinical integration technology and health plan services, in the sale of $30,000,000 Series A Convertible Preferred Stock to North Bridge Growth Equity, a Boston based private equity investment firm. City Capital Advisors was hired as the exclusive financial advisor to Valence Health, a Chicago based firm founded and managed by Phil Kamp and Todd Stockard since 1996.
City Capital assisted Valence Health’s founders with evaluating their strategic options and addressing the Company’s capital requirements for sustaining its hyper-growth. The private equity raised from North Bridge will be used to accelerate the company’s exceptional growth trajectory by adding seasoned healthcare talent; investing in strategic sales and marketing initiatives; and expanding its integrated suite of solutions aimed at improving healthcare and lowering costs through clinical integration, quality management and risk assumption.
“Dick King, Dan DiCaro and the entire City Capital team did a tremendous job on behalf of Valence Health’s owners and employees,” said Phil Kamp (CEO and Co-founder of Valence Health). “Their expert guidance, negotiating skills and dedication to our project yielded a truly outstanding result,” added Todd Stockard (President and Co-founder of Valence Health). Importantly, North Bridge and Valence Health have formed a Board of Directors that includes three leading healthcare industry executives, each bringing tremendous capabilities: Chris Kryder, M.D. (founding CEO of D2Hawkeye sold to Verisk Analytics and co-founder of Generation Health sold to CVS/Caremark); Bob Sheehy (former CEO of United Health); and George Lynn (former Chair of the American Hospital Association and former CEO of AtlantiCare).
About Valence Health
Valence Health delivers patient-centered, data-driven solutions for quality care and population management. Recognized as a market leader in the area of clinical integration and managing risk arrangements, Valence Health offers unique tech-enabled solutions that combine data aggregation and sophisticated data analytics with web-based reporting tools. Valence also has an extensive history of managing risk, and can successfully position healthcare provider organizations for future payment reforms such as bundled payments, medical home models, and ACOs. Today, Valence Health currently works with some of the nation’s leading health organizations, including the Cleveland Clinic, Texas Children’s Hospital, Driscoll Children’s Health Plan, OhioHealth Group, St. Luke’s Episcopal Health System, Scott and White Health Plan, NorthShore University Health System, Alliant Health Plan and Nationwide Children’s Hospital.
About North Bridge Growth Equity
North Bridge Growth Equity is a $545 million growth equity fund focused on emerging high-growth technology companies and is affiliated with North Bridge Venture Partners, a leading early-stage and start-up technology venture capital investment firm founded nearly twenty years ago in 1994. With over $3 billion under management in seven venture capital funds and a growth equity fund, North Bridge has invested in nearly 200 technology companies across five diversified sectors including healthcare, software, communications, materials and digital media, with offices in the Boston and San Francisco areas.
About City Capital Advisors, LLC
City Capital Advisors, a FINRA registered broker-dealer, is a results oriented investment and merchant banking advisory firm. Client engagements are managed exclusively by experienced senior investment bankers who deliver business owners optimal performance in capitalizing on the value of their companies and meeting their objectives as shareholders. City Capital’s investment banking professionals have successfully advised clients on merger and capital markets transactions totaling in excess of $60 billion.