DALLAS & NASHVILLE, Tennessee – (COMMERCIAL THREAD) – Pharos Capital Group, LLC (“Pharos”), a Dallas and Nashville-based private equity firm, announced the acquisition of Horizon Oncology (“Horizon”), headquartered in Lafayette, in Indiana. The acquisition marks the launch of Verdi Oncology, Inc. (“Verdi”), an oncology and clinical research practice management company. Verdi will focus on the aggregation of high-quality oncology practices that participate or qualify to participate in the Oncology Care Model, a value-based payment-for-care program supported by CMS, and payment-for-care-based programs. similar value offered by commercial payers. Pharos is teaming up with Wes Chapman, a seasoned oncology executive, who will serve as CEO of Verdi.
Founded in 2001 by Dr. Wael A. Harb, Horizon has four providers providing oncology and hematology services. In addition, the practice provides cutting-edge clinical trial opportunities to patients in the Midwest. Terms of the transaction were not disclosed.
“We are delighted to launch Verdi and partner with professionals at Pharos, who bring a wealth of financial and operational experience in healthcare, and Dr. Harb of Horizon Oncology, a high-quality practice with a clinical trial offering. terrific, ”said Wes Chapman. . “We have a talented team and will seek to quickly realize our vision of creating a premier oncology platform dedicated to the delivery of patient-centered care in a value-based care environment. ”
Mr. Chapman is a nationally recognized expert in healthcare operations, ACO quality and value-based care programs, having worked in various roles with prominent community and academic oncology groups, including Tennessee Oncology, University of Pittsburgh Medical Center, Dartmouth Hitchcock Medical Center, Vanderbilt University Medical Center, and West Clinic, helping them with quality systems and innovative payment reform models. Previously, he spent 10 years as Chairman and CEO of medical device company M2S, Inc., and Mr. Chapman also has 15 years of investment banking experience with Donaldson, Lufkin and Jenrette Securities and Oppenheimer.
Cancer is the second leading cause of death in the United States, second only to heart disease, and accounts for nearly one in four deaths. There are 1.7 million new cases of cancer each year and the annual expenditure is approximately $ 90 billion. Bob Crants, Co-Founder and Managing Partner of Pharos, said: “We are delighted to enter the field of oncology with the creation of Verdi and to fuel the growth of the company through additional acquisitions and development. ‘internal growth. Cancer impacts just about everyone’s lives, and we envision creating a platform focused on the best care for patients, while helping to address the growing cost burden that oncology presents to patients. United States.
Dr Harb added: “I am delighted to partner with Pharos and Verdi in this innovative venture. I believe the Verdi model will provide a significant benefit to patients, who can be assured of quality, cost-effective and compassionate care with access to cutting-edge medical advances. It is a revolutionary time in the fight against cancer with more than a thousand drugs in preparation and many drugs approved each year. Even with fast-track approvals for new drugs, the process is too slow and cutting-edge clinical trials are difficult to access. Through this partnership, we can develop our research program and extend new therapies to patients in their own community. ”
This is the eighth platform portfolio investment of Pharos III, a $ 545 million private equity fund focused on healthcare.
About Horizon Oncology
Based in Lafayette, IN, Horizon (www.horizononcologycenter.com) offers a wide range of comprehensive cancer services to patients, including advanced technological options, leading clinical expertise and advanced clinical trial opportunities, with a focus on early phase trials. The practice offers the best quality of care while maintaining a high level of professionalism that allows patients to feel cared for and respected.
About Verdi Oncology, Inc.
Based in Nashville, TN, Verdi (www.verdioncology.com) is an oncology and clinical research practice management company focused on the aggregation of high quality oncology practices that participate or qualify to participate in the program. Oncology Care Model, a payment-based value-based care program supported by CMS, and similar programs offered by commercial payers. Verdi’s vision is to create a leading regional network of oncology practices, dedicated to delivering high quality patient-centered care in a value-based environment.
About Pharos Capital Group
Based in Dallas and Nashville, Pharos Capital Group (www.pharosfunds.com) is a registered investment advisor with the SEC. Since its inception, Pharos has invested in 51 companies and currently manages over $ 690 million in private equity assets. Pharos typically invests $ 25-50 million in rapidly growing mid-market companies seeking later stage funding for organic growth, acquisitions, debt buyouts, management buyouts or recapitalizations primarily in the health sectors.