Wound Care Companies Merge

RADNOR, Pa., and LOUISVILLE, Ky. — RecoverCare and
MedaSTAT USA
signed a definitive agreement Monday under which the two companies
will combine in a merger-of-equals transaction led by private
equity firm Aurora Capital Group, Los Angeles, in partnership with
Mark Bidner, chairman of Hollywood Capital and Moelis Capital Partners. Terms of the deal, expected
to close by July 31, were not disclosed.

The combined company will be known as RecoverCare and led by
Bidner as CEO. Joining Bidner are Tom Smith as president and Kevin
McKim as COO. The senior management teams of each company will
remain with the combined company.

“It is our strong belief that the combination of RecoverCare and
MedaSTAT creates an industry leading distributor in the wound-care
industry that is well-positioned to provide better solutions and
services focused on superior customer performance and improved
clinical outcomes for patients. In addition, the combined company
will have an expanded network infrastructure and technology to meet
the needs of our customers in ways not possible in the past,”
Bidner said in a release.

RecoverCare delivers wound care, bariatric care and safe
patient-handling solutions nationwide via 100-plus service centers.
In operation since 1998, MedaSTAT USA provides wound care support
surfaces in 47 states, utilizing 85-plus facilities throughout the
country.