NEW YORK & MIAMI–(BUSINESS WIRE)–Deerfield Healthcare Expertise Acquisitions Corp. (“DFHT”) (NASDAQ: DFHT), a particular objective acquisition firm sponsored by an affiliate of Deerfield Administration Firm, L.P. (“Deerfield”), and Richard Barasch, a veteran healthcare public firm government and investor, introduced in the present day that it has closed its enterprise mixture with CareMax Medical Group, L.L.C. and IMC Medical Group Holdings LLC (“IMC”), making a technology-enabled care platform offering value-based care and continual illness administration to seniors. As beforehand introduced, the transaction was accepted at a particular assembly of DFHT’s stockholders held on June 4, 2021.
The mixed firm, which has been renamed CareMax, Inc. (“CareMax”), expects that its Class A standard inventory and public warrants will begin buying and selling on the Nasdaq World Choose Market below the brand new buying and selling symbols “CMAX” and “CMAXW”, respectively, beginning on Wednesday, June 9, 2021.
Instantly following closing, CareMax will personal and function 26 multi-specialty medical facilities all through South Florida. CareMax has just lately signed definitive agreements for 4 acquisitions, which it believes might be accretive, overlaying roughly 3,600 full and partial threat Medicare lives. Two of those acquisitions just lately closed and the remaining two acquisitions are topic to customary closing situations and are anticipated to shut in the course of the second quarter of this 12 months. CareMax will proceed to be led by its seasoned group of trade professionals, together with Chief Govt Officer, Carlos de Solo; Govt Vice President, William Lamoreaux; Chief Monetary Officer, Kevin Wirges; Chief Medical Officer, Niberto Moreno MD; Chief Working Officer, Albert de Solo; and Chief Technique Officer, Ben Quirk.
“On behalf of the group at DFHT and Deerfield, I’m more than happy to announce the closing of this enterprise mixture,” mentioned Richard Barasch, who will function Govt Chairman of CareMax. “The CareMax group has created a foundational senior-focused healthcare supply platform that mixes high-touch affected person care, vertical care coordination and supply, and a extremely scalable expertise spine. We imagine this differentiated mannequin facilitates members receiving the suitable care on the proper time in essentially the most environment friendly setting. CareMax has turn out to be the platform of alternative for payors, suppliers, and sufferers. Working collaboratively, we imagine that the success that CareMax has skilled regionally will be replicated to different markets throughout the nation.”
“We stay up for this subsequent, thrilling part of our progress as a public firm,” mentioned Mr. de Solo. “We created the CareMax platform to handle a elementary flaw in our nation’s healthcare system: the present fee-for-service enterprise mannequin is failing the aged and the taxpayer. By interceding early on the first care degree, we now have demonstrated that we are able to enhance affected person outcomes and decrease senior healthcare spending by way of the prevention and administration of continual illness. We anticipate to develop organically and by way of acquisition, whereas remaining targeted each on offering the very best degree of affected person care and delivering long-term shareholder worth. We imagine our pipeline for acquisitions stays sturdy as suppliers search to align themselves with our mannequin of value-based care.”
CareMax focuses on offering entry to prime quality care in underserved communities, with roughly 65 % of its Medicare Benefit sufferers being dual-eligible and low-income subsidy eligible as of December 31, 2020. CareMax has contractual relationships with a few of the largest and most established payors within the trade.
CareMax’s complete, high-touch method to well being care supply is powered by its CareOptimize expertise platform, a proprietary end-to-end expertise resolution that aggregates and analyzes knowledge utilizing synthetic intelligence and machine studying to assist extra knowledgeable care supply choices and to focus care choices on preventative continual illness administration and the social determinants of well being. The CareOptimize expertise platform additionally gives CareMax with a nationwide attain past its South Florida presence. As of December 31, 2020, the CareOptimize platform was utilized by roughly 20,000 suppliers in additional than 30 states, together with IMC, which CareMax believes will facilitate the combination and operation of the mixed firm whereas additionally offering a pipeline for potential future acquisitions.
The enterprise mixture was funded by roughly $144 million in money held within the DFHT belief account, over $400 million by way of a personal placement in public fairness together with Deerfield, Constancy Administration & Analysis, LLC, Eminence Capital, LP, funds and accounts managed by BlackRock, and Maverick Capital, and $125 million in debt financing by way of a $185 million senior secured credit score facility, with RBC Capital Markets, LLC and Truist Securities, Inc. appearing as joint main arrangers and joint bookrunners for the power. Whole money consideration payable to the equityholders of CareMax Medical Group, L.L.C. and IMC was roughly $229.4 million and $85.2 million, respectively, web of debt and topic to extraordinary changes, representing roughly 68% and 45%, respectfully of the worth of every enterprise.
Deutsche Financial institution Securities Inc. and UBS Funding Financial institution acted as monetary advisors and capital markets advisors to DFHT, Morgan Stanley & Co. LLC acted as monetary advisor to CareMax Medical Group, L.L.C. and Piper Sandler acted as monetary advisor to IMC. DLA Piper LLP (US) acted as authorized advisor to CareMax Medical Group, L.L.C., McDermott Will & Emery LLP acted as authorized advisor to IMC, White & Case LLP and Polsinelli PC acted as authorized advisors to DFHT and Katten Muchin Rosenman LLP acted as authorized advisor to Deerfield.
CareMax’s Board of Administrators is comprised of healthcare trade veterans, with specialties in managed care, course of enchancment, audit, investing, authorities, and analysis.
“We’re happy to welcome these people as members of CareMax’s Board of Administrators,” mentioned Mr. de Solo. “Their data, perception and expertise might be invaluable as we start this era of transformation and proceed our progress and evolution as a supplier of senior-focused value-based care and continual illness administration in Florida and throughout the US.”
The Board of Administrators is comprised of the next people:
Richard Barasch has served as DFHT’s Chairman since Might 2020 and can function Govt Chairman following the closing of the enterprise mixture. Mr. Barasch was previously Chairman and CEO of Common American Corp., a publicly traded medical health insurance and companies firm targeted on the senior market and authorities packages, from 1995 till Common American’s acquisition by WellCare Well being Plans in Might 2017. He additionally serves as Chairman of AdaptHealth Corp. (Nasdaq: AHCO), which went public in 2019 by way of a enterprise mixture with DFB Healthcare Acquisitions Corp, and is a founding associate of RAB Ventures, shaped to put money into progress healthcare corporations. Mr. Barasch serves on the Board of Trustees of the Maimonides Medical Heart in Brooklyn, New York. Mr. Barasch graduated from Swarthmore School and Columbia College Regulation Faculty.
Carlos A. de Solo
Carlos A. de Solo is the President, CEO and a co-founder of CareMax. He has served in these capacities since Might 2011. Earlier than co-founding CareMax, he served as COO and associate of Solera Well being Methods, LLC, a startup managed healthcare firm. Mr. de Solo additionally serves as a board member of the Coral Gables Hospital. Mr. de Solo acquired a B.B.A. in Accounting and Finance from Florida Worldwide College.
Dr. Jennifer Carter
Dr. Jennifer Carter is a board-certified internist and healthcare entrepreneur with over 20 years of expertise evaluating current and rising markets, new medical applied sciences and early-stage corporations within the healthcare discipline. She is presently Managing Director of JLC Precision Well being Methods, LLC, a method and innovation consulting firm that advises data-driven healthcare and life science corporations on their business and financing technique and the event of novel services and products. In 2018, Dr. Carter based TrialzOWN, Inc. and was CEO till its prelaunch acquisition by Integral Well being (now Valo Well being) in 2019. Dr. Carter has a B.S. in Molecular Biophysics and Biochemistry from Yale College, an M.D. from Harvard Medical Faculty, an M.P.H. from Harvard Faculty of Public Well being and an M.B.A. from the Sloan Faculty at Massachusetts Institute of Expertise.
Jose R. Rodriguez
Earlier than he retired on March 31, 2021, Jose R. Rodriguez was a senior audit associate at KPMG LLP (KPMG). Throughout his profession at KPMG, he held numerous management positions, together with as lead director of the board of administrators, COO of KPMG Worldwide’s international audit observe, workplace managing associate, chief of its Audit Committee Institute (ACI), east area skilled observe associate and, most just lately, ombudsman. Mr. Rodriguez brings to the board in-depth data and understanding of usually accepted accounting rules, expertise in auditing and SEC reporting, mergers and acquisitions, familiarity with the tasks and features of audit committees and experience in company governance. Mr. Rodriguez acquired a B.B.A. with a serious in accounting from the College of Miami.
Hon. David J. Shulkin, M.D.
Hon. David J. Shulkin, M.D., a board-certified internist with government healthcare administration expertise, has served as an unbiased director of DFHT since July 2020. Dr. Shulkin served because the ninth United States Secretary of Veterans Affairs from February 2017 to April 2018 and the Below Secretary of Veterans Affairs for Well being from July 2015 to February 2017. Earlier than arriving to such appointments, Dr. Shulkin was CEO of assorted main hospitals and well being programs, together with Beth Israel in New York Metropolis and Morristown Medical Heart in Northern New Jersey. He has held quite a few doctor management roles and educational positions, and based DoctorQuality, one of many first consumer-orientated sources of data for high quality and security in healthcare. Dr. Shulkin acquired his M.D. from the Medical School of Pennsylvania, did his internship at Yale College Faculty of Drugs, and his Residency and Fellowship in Normal Drugs on the College of Pittsburgh Presbyterian Medical Heart. He acquired superior coaching in outcomes analysis and economics as a Robert Wooden Johnson Basis Medical Scholar on the College of Pennsylvania.
Randy Simpson, who was Associate and Head of the Healthcare Group at Glenview Capital Administration, brings important funding expertise to the board. He joined Glenview Capital Administration in September 2005 and was named Associate in April 2011. As a senior member of Glenview Capital Administration’s funding group, Mr. Simpson managed Glenview Capital Administration’s healthcare investments by way of 2019. Earlier than becoming a member of Glenview Capital Administration, he was an fairness analysis analyst at Goldman Sachs. Mr. Simpson acquired his M.B.A. in Finance and Accounting from the College of Chicago, his J.D. from Georgetown College Regulation Heart and his B.A. in Quantitative Economics and Determination Sciences from the College of California, San Diego.
CareMax is a technology-enabled care platform offering value-based care and continual illness administration to seniors. Collectively, CareMax operates 26 wholly-owned medical facilities that provide a complete suite of healthcare and social companies, and a proprietary software program and companies platform that gives knowledge, analytics, and rules-based choice instruments/workflows for physicians throughout the US. Study extra at www.caremax.com.
This press launch consists of sure statements that aren’t historic information however are forward-looking statements for functions of the protected harbor provisions below the US Non-public Securities Litigation Reform Act of 1995. Ahead-looking statements usually are accompanied by phrases similar to “imagine,” “could,” “will,” “estimate,” “proceed,” “anticipate,” “intend,” “anticipate,” “ought to,” “would,” “plan,” “predict,” “potential,” “appear,” “search,” “future,” “outlook,” and comparable expressions that predict or point out future occasions or tendencies or that aren’t statements of historic issues. These forward-looking statements embrace, however aren’t restricted to, statements concerning the graduation of buying and selling of CareMax’s Class A standard inventory and public warrants on Nasdaq, affected person care below the CareMax mannequin and growth of that mannequin, the timing for closing of CareMax’s just lately signed acquisitions, CareMax’s anticipated progress, together with by way of natural progress and acquisitions, and that CareMax will proceed to be led by its administration group. These statements are primarily based on numerous assumptions and on the present expectations of CareMax administration and aren’t predictions of precise efficiency. These forward-looking statements are offered for illustrative functions solely and aren’t supposed to function, and should not be relied on by any investor as, a assure, an assurance, a prediction or a definitive assertion of reality or chance. Precise occasions and circumstances are troublesome or not possible to foretell and can differ from assumptions. Many precise occasions and circumstances are past the management of CareMax. These forward-looking statements are topic to plenty of dangers and uncertainties, together with modifications in CareMax’s shoppers’ preferences, prospects and the aggressive situations prevailing within the healthcare sector; these elements mentioned within the definitive proxy assertion filed by DFHT below the heading “Threat Elements,” and different paperwork of DFHT filed, or to be filed, with the SEC. If the dangers materialize or assumptions show incorrect, precise outcomes might differ materially from the outcomes implied by these forward-looking statements. There could also be further dangers not presently recognized to CareMax or that CareMax presently believes are immaterial that might additionally trigger precise outcomes to vary from these contained within the forward-looking statements. As well as, forward-looking statements replicate CareMax’s expectations, plans or forecasts of future occasions and views as of the date of this press launch. CareMax anticipates that subsequent occasions and developments will trigger CareMax’s assessments to alter. Nevertheless, whereas CareMax could elect to replace these forward-looking statements in some unspecified time in the future sooner or later, CareMax particularly disclaims any obligation to take action. These forward-looking statements shouldn’t be relied upon as representing CareMax’s assessments as of any date subsequent to the date of this press launch. Accordingly, undue reliance shouldn’t be positioned upon the forward-looking statements.