TAMPA, June 2, 2020 – Osceola Capital, a lower middle-market private equity firm focused on services businesses, announced today that it has partnered with management to recapitalize Central Medical Group (“CMG” or the “Company”).
Founded in 1997 and headquartered in Flanders, New Jersey, CMG is a leading provider of outsourced equipment management solutions for hospices. In addition to managing the challenging logistics of delivering medical equipment to the site of care, CMG’s technology platform provides its clients with consolidated ordering and invoicing, as well as reporting and analytics on utilization, cost trends, and patient data.
“It was critical to find a partner who shared our vision for growth and quality while supporting the Central Medical mission and culture. In Osceola we found a like-minded partner who shares our enthusiasm for the industry and the commitment to support our continued efforts,” said Joe Sacco, founder and CEO of CMG. Following the transaction, Mr. Sacco and co-owner/CFO John Armas will retain significant ownership stakes in the business alongside Osceola and will continue in their current roles, along with the rest of the existing management team.
Ben Moe, Managing Partner at Osceola Capital, commented, “We are excited to partner with Joe, John and their team at Central Medical. They have developed a strong reputation as a premier provider of hospice equipment management services in their markets. We look forward to helping the team bring their high-quality, technology-enabled service offering to new markets through add-on acquisitions and de novo facilities.”
Central Medical Group represents the sixth platform in Osceola’s current fund and Osceola’s second healthcare platform investment in 2020, following its investment in Healthcents (a provider of healthcare payor contracting and RCM services) in January. CMG is actively looking for additional acquisition opportunities in this industry.