KKR to buy Birmingham health tech company for $1.2 bln

Global investment firm KKR will acquire a majority interest in Birmingham-based Therapy Brands. Though financial terms were not disclosed, Bloomberg is reporting the deal totals $1.2 billion.

Founded in 2013, Therapy Brands is a practice management and electronic health record software platform for healthcare providers. Its products are used by more than 28,000 practices across the U.S., ranging from individual providers to national multi-location practice groups. The company employs more than 500 people nationally.

KKR, based in New York, is acquiring the company from investment funds affiliated with Lightyear Capital LLC, Oak HC/FT and Greater Sum Ventures. Existing investor PSG will participate in the transaction alongside KKR and continue as a minority shareholder.

Therapy Brands CEO Kimberly O’Loughlin said the deal will accelerate the company’s mission.

“Provider and patient friendly technology-enabled solutions are more important than ever as the demand for mental and behavioral health services continues to rapidly increase,” Therapy Brands CEO Kimberly O’Loughlin said. “We are excited to welcome KKR as our new investor, which brings a deep understanding of the healthcare sector and extensive experience in scaling technology-enabled platforms.”