AVISTA CAPITAL PARTNERS COMPLETES SALE OF INFORM DIAGNOSTICS TO FULGENT GENETICS, INC.

Rhea-AI Summary

On April 27, 2022, Avista Capital Partners announced the sale of Inform Diagnostics to Fulgent Genetics (NASDAQ: FLGT) for approximately $170 million. Inform Diagnostics, a leading pathology laboratory in the U.S., serves around 1,300 clients and over 2,700 physicians. The acquisition aims to enhance Fulgent's capabilities in various pathology specialties, including gastrointestinal and dermatopathology. The deal follows Inform's growth under Avista since its carve-out from Miraca Life Sciences in 2017, which included strategic management enhancements and expansions.

Positive

• Acquisition of Inform Diagnostics enhances Fulgent Genetics' service offerings in pathology.
• Inform Diagnostics serves a wide client base including approximately 1,300 clients and over 2,700 physicians.

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• None.

NEW YORK, April 27, 2022 /PRNewswire/ -- Avista Capital Partners ("Avista"), a leading private equity firm focused exclusively on healthcare, today announced that it has closed on the sale of Inform Diagnostics ("Inform Diagnostics") to Fulgent Genetics (NASDAQ: FLGT).  Inform Diagnostics is one of the largest national pathology laboratories in the United States with offerings across gastrointestinal pathology, dermatopathology, urologic pathology, and hematopathology, among others. The company currently provides services to approximately 1,300 clients who represent over 2,700 physicians.

Fulgent Genetics originally announced its definitive agreement to acquire Inform Diagnostics for approximately $170 million on April 18, 2022.  

In 2017, Avista's Fund IV carved out Inform Diagnostics from Miraca Life Sciences and worked diligently with the newly recruited management team to create a successful standalone company. Shortly thereafter, Inform Diagnostics grew its capabilities via the acquisition of Therapath, a leading neuropathology laboratory based in New York and the expansion of its Newton, Massachusetts facility. During Avista's ownership period, Inform Diagnostics executed on a host of compelling corporate and growth initiatives, including the appointments of numerous senior team members, enhanced financial flexibility to drive corporate growth and strengthened compliance policies and procedures.

Sriram Venkataraman, Avista Partner said, "Inform Diagnostics' precision and laboratory excellence have earned the trust of clinicians and enhanced patient care. It has been a privilege to work with Inform's dedicated team and we are confident they will continue to thrive and deliver outstanding results as part of Fulgent's platform."

Darryl Goss, Inform Diagnostics' Chief Executive Officer, added, "Avista has been a true partner, guiding our strategic growth and supporting our organization, particularly as we navigated the challenges of the pandemic. I am proud to have worked alongside a talented group of individuals, who not only believed in and invested in our technical innovation and continuous improvement, but also showed great care and concern for our employees, clients, and the patients we serve. Being acquired by Fulgent is an excellent outcome for our organization, allowing us to build upon the technologically driven initiatives started with Avista, and furthering our commitment to providing exceptional quality and service."

Kirkland & Ellis served as legal counsel to Inform Diagnostics in connection with the transaction.

About Avista Capital Partners
Founded in 2005, Avista Capital is a leading New York-based private equity firm with nearly $8 billion invested in 40 growth-oriented healthcare businesses globally. Avista partners with businesses that feature strong management teams, stable cash flows and robust growth prospects – investing in the medical devices and technologies, pharmaceuticals, outsourced pharmaceutical services, healthcare technology, healthcare distribution, and consumer-driven healthcare sectors. Avista's Operating Executives and Advisors are an integral part of the team, providing strategic insight, operational oversight and senior counsel, which helps drive growth and performance, while fostering sustainable businesses and creating long-term value for all stakeholders. For more information, visit www.avistacap.com.

About Inform Diagnostics
Inform Diagnostics is one of the largest independent pathology laboratory businesses in the U.S. With exceptional quality and experience, Inform Diagnostics provides subspecialty pathologist–to–physician interaction with timely, definitive patient diagnoses in gastrointestinal pathology, dermatopathology, hematopathology, neuropathology, breast pathology, molecular diagnostics, and genitourinary pathology. Inform Diagnostics is profoundly impacting patient care, one diagnosis at a time, by practicing medicine at the intersection of quality, service, and solutions. The company is headquartered in Irving, Texas, with additional state–of–the–art laboratories in Boston, New York City, and Phoenix.

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SOURCE Avista Capital Partners

FAQ

What was the acquisition amount for Inform Diagnostics by Fulgent Genetics?

Fulgent Genetics acquired Inform Diagnostics for approximately $170 million.

When was the sale of Inform Diagnostics announced?

The sale of Inform Diagnostics was announced on April 27, 2022.

What services does Inform Diagnostics provide?

Inform Diagnostics provides a range of pathology services including gastrointestinal pathology, dermatopathology, and hematopathology.

How many clients does Inform Diagnostics have?

Inform Diagnostics serves approximately 1,300 clients.

What company acquired Inform Diagnostics?

Inform Diagnostics was acquired by Fulgent Genetics, which trades on NASDAQ under the symbol FLGT.