CarePayment Announces New Owner, Moves Headquarters to Nashville

Leading patient financial engagement company purchased by Dallas area firms and positions itself for accelerated growth

NASHVILLE, Tenn. & DALLAS--()--CarePayment, a leading patient financial engagement company with more than a decade of experience partnering with providers to offer patients zero percent interest payment programs, announced today that Cedar Springs Capital, LLC, together with Crestline Investors, Inc., has acquired a majority interest in the company and is investing significant capital to support the company’s growth initiatives. This transaction is being completed by way of the restructuring of CCM Capital Opportunities Fund, led by Cedar Springs Capital and Crestline Investors.

The purchase and investment severs all ties with the company’s prior ownership and comes during an important period of growth and expansion for CarePayment. After several years of steady growth, CarePayment has had a recent surge in momentum, signing several high-profile providers and expanding its reach into more than 30 states.

“CarePayment offers a unique, unmatched value to both patients and providers,” said Colin McGrady, Managing Partner at Cedar Springs Capital. “The burdens of rising out-of-pocket costs for patients, regardless of what type of health insurance coverage they have, coupled with the challenges of rising bad debt for providers are not going away anytime soon. CarePayment, through its strong leadership team, is perfectly positioned to provide immediate relief, and we could not be more proud to support its continued growth going forward.”

“We are so pleased to have found the right partners for CarePayment in Cedar Springs Capital and Crestline Investors, and appreciate their confidence in our company and vision for our future,” said Craig Hodges, Chief Executive Officer of CarePayment. “With additional resources to accelerate our growth, we will be able to reach more patients and providers in a time of great uncertainty. The moment is ours, and I am confident we are well positioned to capitalize on our current momentum going forward. Our work is more important than ever.”

In addition to its new ownership, CarePayment is moving its headquarters from Portland, Oregon, to Nashville, Tennessee, the healthcare hub of the United States, where it first opened an office in October 2015. The majority of the executive team is currently located in Nashville and additional employees will be added as the company experiences near term growth. The Nashville headquarters and expansion is a nice compliment to the operations center in Portland, where the company will continue to maintain a strong presence.

“Being closer to many of our current and prospective clients in Nashville, as well as to the tremendous healthcare talent pool here, will allow us to offer even better service to our provider partners and their patients, as well as pursue additional opportunities for growth and expansion,” said Ed Caldwell, CarePayment’s Chief Revenue Officer. “At a time of great uncertainty in healthcare, we are fortunate enough to offer a service where everybody benefits: patients are relieved to discover they have a flexible, convenient, affordable solution to pay off their medical bills and providers are able to recover payment for their services while increasing patient satisfaction and loyalty. It is the solution that our healthcare system needs, and we are proud to provide it.”

About CarePayment
CarePayment is a patient financial engagement company that accelerates providers’ transition to the new consumer-driven healthcare market. Powered by advanced technology and analytics, our innovative patient financing solutions improve patient satisfaction and loyalty while delivering superior financial results. By partnering with healthcare providers to make affordable financial options available, CarePayment helps patients get the care they need, when they need it, while protecting the financial health of provider organizations so they can continue to offer valuable care to the community. CarePayment’s patient-friendly financing is compliant with applicable state and federal consumer credit laws, requires no application, and is supported by a friendly US-based customer service staff. Accounts for the program are issued by WebBank, Member FDIC. Find more information at www.carepayment.com.

About Cedar Springs Capital
Cedar Springs Capital, LLC, based in Dallas, Texas, is a specialty investment firm whose core mandate is to pursue investment opportunities tied to special situations in middle-market private equity and venture capital funds. The firm has expertise in providing alternative investment funds with customized fund restructuring solutions aimed at tackling GP-LP alignment issues while offering liquidity options to existing limited partners. Cedar Springs Capital aims to maximize remaining fund value by delivering investment and operational expertise tailored to portfolio assets, injecting new capital where prudent and re-aligning key stakeholders. For additional information, please visit www.cedarspringscapital.com.

About Crestline Investors, Inc.
Crestline Investors, Inc., founded in 1997 and based in Fort Worth, Texas, is a credit focused institutional alternative investment management firm with approximately $9.2 billion of assets under management. Crestline specializes in credit and opportunistic investments, including bespoke financing and restructuring solutions for mature or troubled private equity funds. In addition, the firm manages a multi-PM equity market-neutral hedge fund, and provides Beta and Hedging Solutions for Institutional clients. Headquartered in Fort Worth, Texas, the company maintains affiliate offices in New York City, Chicago, London, Toronto and Tokyo. For more information, please visit www.crestlineinvestors.com.

Contacts

DVL Seigenthaler
Ann Waller Curtis, 615-610-0317
annwaller.curtis@dvlseigenthaler.com

Release Summary

Cedar Springs Capital and Crestline Investors have acquired a majority interest in CarePayment and are investing significant capital to support the patient financial engagement company’s growth.

Contacts

DVL Seigenthaler
Ann Waller Curtis, 615-610-0317
annwaller.curtis@dvlseigenthaler.com