River Cities recently announced the sale of Accelecare Wound Centers, a Fund IV portfolio company, to Revelstoke Capital Partners. Revelstoke Capital, Yukon Partners and seven institutional co-investors paid $70 million for a majority equity interest in the wound treatment operator.
River Cities first invested in Accelecare in 2007 alongside SV Life Sciences and Bain Capital. Bellevue, Washington-based Accelecare, a provider of wound care and disease management services, has grown from 10 wound care clinics at the time of our investment to more than 100 clinics staffed with trained physicians, nurses and specialized technicians during the course of River Cities' investment horizon.
Accelecare is on the right side of healthcare trends, with the nation grappling with its aging population as well as an increased incidence of diabetes and the resulting wounds, says Mark King, Managing Partner and CEO of Revelstoke.
"One of the hallmarks of the River Cities' model is the sponsorship of world-class management teams who represent absolute domain experts in their market space. Accelecare is no exception with Mike Lester, Pam Spaniac and the team being the finest leaders in the world of wound care. We remain extremely excited about the Company's future prospects and look forward to our continued support of the team," says Carter McNabb, River Cities' managing director and previous member of the Accelecare Board of Directors.
"River Cities served as not only a capital provider, but as another invaluable resource. It was a true professional partnership with immense support and productive interaction. The River Cities team has been insightful and supportive throughout the rapid growth of our business. They understand the key elements of successful strategy, collaboration and accountability. We are grateful to have River Cities as a dedicated partner," says Mike Lester, Accelecare's Chairman and CEO.
The sale of Accelecare marks the fourth exit for the Fund IV portfolio and the 12th successful River Cities' exit since 2010. We are pleased with the exit activity Fund IV experienced in 2013 as well as the continued growth of the remaining 12 portfolio companies. River Cities is optimistic that 2014 will be another productive year for growth and liquidity.