OMERS Private Equity announced today a definitive agreement to acquire Paradigm Outcomes (“Paradigm” or the “Company”). Summit Partners (“Summit”), Paradigm’s existing majority owner, will continue to be a shareholder in Paradigm. Terms of the transaction were not disclosed.
OMERS Private Equity invests on behalf of OMERS, the defined benefit pension plan for municipal employees in the Province of Ontario, Canada. Its investment in Paradigm is the latest in a series of healthcare investments that includes Premise Health, Forefront Dermatology, CBI Health Group, Great Expressions, and Accelerated Rehabilitation Centers.
Based in Walnut Creek, California, Paradigm is a market leading provider of complex and catastrophic medical management to the U.S. workers’ compensation industry. Paradigm places the injured worker at the center of a dedicated team solely focused on achieving better medical outcomes while lowering overall costs. Specifically, over the past 25 years, Paradigm has leveraged nationally recognized doctors, expert clinical staff, a national facility network, and its specialty network footprint and capabilities, as well as clinical data from thousands of prior cases to guide decisions and outcomes.
John Watts, CEO of Paradigm, said, “We are excited to partner with OMERS and look forward to working together as we expand Paradigm’s services while we continue to focus on delivering best-in-class services to our clients. Our organizations are aligned in cultural values and in our shared vision for growth. With OMERS and Summit behind us, we will continue to raise the bar for managing complex healthcare needs.”
“It has been a pleasure to partner with John and the entire Paradigm team through a period of impressive growth. We are grateful for their hard work and strategic vision, and we look forward to continuing to work with them and to develop our partnership with OMERS in this next chapter,” said Darren Black, a Managing Director with Summit.
“Paradigm has consistently demonstrated an ability to provide great outcomes for patients and customers alike, and we are eager to partner with John Watts and the team,” said Geoff Bird, Managing Director, OMERS Private Equity.
“Our investment in Paradigm is consistent with OMERS Private Equity’s strategy of acquiring industry leading companies with world class management teams. The Company is a strong addition to our growing portfolio,” said Eric Haley, Managing Director, OMERS Private Equity.
Weil Gotshal & Manges LLP acted as legal counsel for OMERS Private Equity. JMP Securities LLC acted as exclusive financial advisor to OMERS Private Equity. Credit Suisse and SunTrust Robinson Humphrey, Inc. will act as joint lead arrangers for the credit facilities in support of the transaction.