CorroHealth has announced a strategic partnership with Patient Square Capital, a health care investment firm. The agreement involves Patient Square making a significant investment in CorroHealth, which provides revenue cycle management solutions to health systems and plans. Current shareholders, including Carlyle, TT Capital Partners, Sanaka Group, and CorroHealth management, will remain involved as investors. Patient Square and Carlyle will share joint control of the company.
Pat Leonard, CEO of CorroHealth, stated: “Since its inception in 2019, CorroHealth has grown into a technology and clinically led health care RCM platform. The Patient Square team has a long history of successfully investing in and scaling health care companies. We are pleased to welcome them and look forward to leveraging our investors’ expertise to continue expanding our capabilities and delivering exceptional value to our customers.”
Justin Sabet-Peyman from Patient Square expressed enthusiasm about the partnership: “We are excited to be partnering with CorroHealth’s management team and investors to build upon CorroHealth’s strong track record of organic and inorganic growth. We have conviction in the attractiveness of the RCM market and believe CorroHealth is well-positioned to continue delivering differentiated tech-enabled solutions to its provider and payer customers.”
Carlyle Partner Joe Bress remarked on their ongoing involvement: “We are tremendously proud of CorroHealth’s evolution since its founding. We consider the future bright for CorroHealth and are committed to supporting CorroHealth’s continued growth and innovation alongside our new and existing partners.”
The transaction is expected to conclude by year-end. Barclays and TripleTree are acting as financial advisors for CorroHealth; Latham & Watkins serves as legal counsel for both CorroHealth and Carlyle; Kirkland & Ellis represents Patient Square legally.
CorroHealth operates globally with over 15,000 employees across more than 10 locations, including the United States, India, and the United Kingdom.
Patient Square manages around $10.5 billion in assets as of mid-2024. They focus on investments that improve patient lives while strengthening communities.
Carlyle holds $435 billion in assets under management across multiple business segments.