GS Capital Partners, Pharos Capital and Haas Wheat & Partners have agreed to sell Medfinders to AMN Healthcare Services (NYSE: AHS) in a deal valued at about $220 million. The selling consortium, which acquired the company in a 2007 LBO for $250 million, will receive 6.3 million shares of common stock and 5.7 million shares of preferred stock in AMN, equaling a 26% stake. Medfinders provides clinical workforce managed services programs.
68 PE investors have invested in 89 companies in the Human Capital Services industry since the beginning of 2007, according to the PitchBook Platform. Deal activity in the industry is rebounding this year with 9 completed or announced deals so far in 2010, compared to 8 deals for all of 2009. The rise is probably based in part on the belief that demand for the industry's services will grow with the economic recovery over the next few years. California and Texas are the most popular locations for target companies, each being home to 11 companies. Of the investors who invested in the industry during the time period, the most active include The Blackstone Group with 4 deals and GS Capital Partners, H.I.G. Capital and Olympus Partners with 3 deals apiece.