National HME Partners with New Mountain
National HME, Inc. (“NHME” or the “Company”), a leading provider of medical equipment solutions to the hospice market, today announced that it has expanded its existing relationship with New Mountain Finance Corporation (“NMFC”), an affiliate of New Mountain Capital, LLC (together with NMFC, “New Mountain”). New Mountain is a growth-oriented investment firm that currently manages over $20 billion in assets. NMFC invested more than $20 million into NHME through a reduction in debt and a substantial cash infusion to fund operational and growth strategies.
NHME is the largest direct provider of technology enabled medical equipment solutions to the hospice market. Through Hospice Cloud Pro, the Company’s proprietary web-based technology, NHME provides its customers with consolidated ordering and invoicing as well as data on utilization, cost trends and network management for reporting and analytics. By controlling its equipment, truck fleet, and large base of medical equipment delivery and service technicians, NHME provides a higher level of service and responsiveness to its customers compared to national network providers who typically own no medical equipment and are dependent on local third parties with limited technology capabilities.
New Mountain is providing NHME with significant financial and strategic resources to support future growth and operational improvement initiatives, which are expected to drive an enhanced customer service experience. These initiatives include continued investment in NHME’s medical equipment and logistics fleet, accelerated investments in NHME’s Hospice Cloud Pro technology platform, growing NHME’s sales and account management teams, and adding incremental customer service resources.
“New Mountain is an ideal partner for NHME given its deep experience in healthcare services, distribution and logistics,” said Chris Temple of NHME. “The New Mountain team has demonstrated its strong commitment to NHME, not only through its substantial financial investment, but also through the time spent by its investment and operating professionals working with us to identify operational improvements and growth strategies.”
“New Mountain has been focused on the healthcare equipment distribution market for many years and has developed unique expertise through our investments in Medical Specialties Distributors and ABB Optical,” said Andre Moura, Managing Director at New Mountain Capital. “We look forward to working closely with NHME to realize its full potential by investing in technology, building out its leadership team, and enhancing its service capabilities to provide hospice caregivers with the critical medical equipment they need to care for their patients.”
“NHME has a strong reputation for high-quality customer service and innovative equipment solutions to the growing hospice industry,” said Lew Klessel, Managing Director at New Mountain Capital. “We believe that New Mountain’s operational resources, along with our deep experience in healthcare services and distribution, will enable the Company to succeed in the evolving hospice equipment market, in which direct control of equipment and seamless integration of technology are paramount to delivering the highest quality service to our customers.”
About National HME
National HME, Inc., headquartered in Irving, Texas, is the largest provider of outsourced hospice medical equipment (“HME”) management solutions, enabling its customers to predict and reduce costs, manage utilization, enhance operational efficiency, collect critical data, and improve quality of care. The Company operates primarily through its 66 full-service locations. Working through its Hospice Cloud Pro network solution and full-service locations, National HME services more than 700 customers addressing more than 31,000 patients.
About New Mountain Capital
New Mountain Capital is a New York based investment firm that emphasizes business building and growth, rather than debt, as it pursues long-term capital appreciation. The firm currently manages private equity, public equity, and credit funds with over $20 billion in assets under management. New Mountain seeks out what it believes to be the highest quality growth leaders in carefully selected industry sectors and then works intensively with management to build the value of these companies. For more information on New Mountain Capital, please visit www.newmountaincapital.com.
About New Mountain Finance Corporation
New Mountain Finance Corporation is a closed-end, non-diversified and externally managed investment company that has elected to be regulated as a business development company under the Investment Company Act of 1940, as amended. The Company’s investment objective is to generate current income and capital appreciation through the sourcing and origination of debt securities at all levels of the capital structure, including first and second lien debt, notes, bonds and mezzanine securities. In some cases, the investments may also include small equity interests. The Company’s investment activities are managed by its Investment Adviser, New Mountain Finance Advisers BDC, L.L.C., which is an investment adviser registered under the Investment Advisers Act of 1940, as amended. More information about New Mountain Finance Corporation can be found on the Company’s website at www.newmountainfinance.com.
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