Cimarron Healthcare Capital and Tacoma Holdings Announce Recapitalization of Frontpoint Health
Transaction Provides Capital to Support Growth for Frontpoint Health, a specialty Home Health and Hospice Platform
Cimarron Healthcare Capital (“Cimarron”) and Tacoma Holdings (“Tacoma”), private equity firms focused on making investments into healthcare companies in the lower-middle market, today announced that they have recapitalized Frontpoint Health (“Frontpoint” or “the Company”) together in partnership with the Frontpoint management team and other investors. Frontpoint is a leading home health and hospice platform focused primarily on servicing Medicare Advantage patients in the Texas market. Financial terms of the private transaction were not disclosed.
Cimarron and Tacoma tapped former Evergreen Health Executive, Brent Korte, to lead the platform as CEO following the transaction. Korte has a strong track record of success and is highly reputed in the home care space. A board of industry experts has also been assembled to support Korte.
“I’m grateful for the trust of my new partners at Cimarron and Tacoma,” said Brent Korte, “and I’m excited to begin building a differentiated platform focused on connecting the economies of scale of larger platforms with the benefits of local agencies, to thrive as a low-cost provider and to target the growing Medicare Advantage market.”
The investment will be used to support organic growth, drive synergy opportunities between the Company’s home health and hospice businesses, and to complete strategic acquisitions, all in response to significant demand from the Medicare Advantage market.
“We’re very optimistic about Frontpoint’s future behind a proven industry executive in Brent Korte,” said James Nadauld, Managing Partner of Cimarron. “Cimarron’s active investment thesis in post-acute care, coupled with its long-standing relationship with Tacoma, positions us to be value-added partners to Brent and his team.”
About Cimarron Healthcare Capital
Cimarron Healthcare Capital is a healthcare-focused private equity firm based in Salt Lake City, UT. Cimarron is led by a unique combination of seasoned healthcare investors and operators. The firm partners with owners and operators in the healthcare lower middle-market to build enduring businesses that improve the healthcare system and drive value for all stakeholders.