Company Transacted
Sequoia, one of the largest IPAs in central California, has more than 1300 primary care and specialty physician networks, including 45 FQHC clinics owned by minority partner, Golden Valley Health Centers (GVHC). Sequoia serves over 145,000 lives including supportive MSO services. Physicians offer a wide range of direct care services, including pediatrics, adult primary care, urgent care and specialist care. Sequoia’s desired a buyer aligned with their vision for growth and improved services
Strategic Private Equity Buyer
Tri-Valley, a portfolio company of Webster Equity Partners, is a highly innovative physician platform that provides primary care and population health management services to Senior and Commercial members in Southern California. The company has a 20+ year history and demonstrated success in risk-based contracts with leading health plans and IPA partners. TriValley and Webster understood the potential to leverage the tremendous infrastructure at Sequoia and GVHC to expand services in both Medicaid and Medicare.
WaveEdge Strategy
- WaveEdge worked with management to develop the model and story to demonstrate the near and long term growth opportunity based on solid metrics
- From hundreds of private equity and strategic prospects, WaveEdge quickly narrowed the field to those interested in investing in CA Medicaid and with existing knowledge and business capabilities to realize the envisioned growth
- WaveEdge leveraged only its senior team to work directly with management, the buyers and their extensive diligence team to showcase the growth potential address inquiries and facilitate negotiations
Result
WaveEdge completed a transaction for majority sale of the company at a multiple with an impressive return for its lead investor along with current return as well as rollover equity for earn out on growth for senior management