Avera Health Announces Acquisition of Avera eCare by Aquiline Capital Partners
Avera eCare Will Become Avel eCare
Avera Health announces the acquisition of its telemedicine services, Avera eCare, by Aquiline Capital Partners, a private investment firm based in New York and London with $6.4 billion in assets under management. As part of the acquisition, Aquiline will execute the carve-out of Avera eCare and rename the company Avel eCare. Closing is expected to occur in the fourth quarter of 2021.
“We are very proud that Avera’s innovation in the telehealth space created this nationally renowned telehealth company,” said Bob Sutton, President and CEO of Avera Health. “During the pandemic, people nationwide recognized the value of telehealth, and telehealth grew in significance. The time is right for us to fulfill this piece of our strategic plan so Avel eCare can scale and help even more people. Avera will continue its tradition of being an innovator in the virtual care space well into the future. And, Avera will maintain a relationship with Avel eCare as a recipient of telemedicine services.”
“Avel eCare has developed an innovative solution that provides critical services to underserved communities in the growing telemedicine market. It aligns with our expertise in establishing corporate carve-outs and helping to build tech-enabled service businesses. We look forward to building on Avel eCare’s strengths and working closely with the management team to expand their services and enhance their offerings for clients around the country,” said Jeff Greenberg, Chairman and CEO of Aquiline.
Avel eCare’s more than 230 employees will continue to work for Avel eCare, and its headquarters will remain in Sioux Falls, S.D. Avera patients will continue to benefit from telemedicine with no interruption of services. Some services, including virtual specialty consults, will remain with Avera.
“Over the past decade, Avera eCare, now Avel eCare, grew telehealth services to over 600 sites across 32 states,” said Deanna Larson, who will remain the CEO of Avel eCare. “We are proud of the team that pioneered this unique care model, cultivating thousands of clinician-to-clinician relationships in support of the bedside care teams. We are excited to be given the blessing of Avera’s founders, and the investment of Aquiline to build our program further and provide quality, compassionate care to even more individuals.”
“We look forward to partnering with Aquiline and leveraging their experience in our pursuit of filling unmet needs in the health care system. We are thrilled with the opportunity to bring additional services to our customers in this next chapter of Avel eCare’s development," Larson said.
“Avera remains focused on its goals to accelerate growth including digital health, geographic expansion and investments in its people,” Sutton said. “We are proud of all that the eCare team has accomplished, and our patients will continue to benefit from the lifesaving care delivered via telemedicine.”
Avel eCare includes a broad range of service lines that include Behavioral Health, Correctional Health, Emergency, Hospitalist, ICU, Pharmacy, School Health, Specialty Clinic and Senior Care.
Avera engaged Ziegler, a national boutique investment bank, as its financial advisor and Foley & Lardner as legal counsel for this acquisition.
Aquiline Capital Partners, founded in 2005, is a private investment firm based in New York and London investing in companies across financial services and technology, business services, and healthcare. The firm had $6.4 billion in assets under management as of March 31, 2021. For more information about Aquiline, its investment professionals, and its portfolio companies, please visit Aquiline.com.
About Avel eCare
Avel eCare offers one of the largest and most comprehensive virtual health networks in the world – partnering with more than 600 health care systems, rural hospitals, outpatient clinics, long-term care facilities, assisted livings, and schools across the country. Learn more by visiting our website.