Healthcare company DecisionRx obtained a $100 million credit facility with global investment firm Carlyle.
The financing will support the cost-bearing that is key to DecisionRx’s business model, as the company assumes the full cost of delivering medication therapy optimization to patients of accountable care organizations, Medicare Advantage plans and self-insured employers. The facility is expected to fund lab testing and medication reviews by DecisionRx pharmacists for more than 100,000 patients.
“This transaction strongly validates investors’ belief in our innovative approach to improving patient outcomes by helping providers avoid medication failure at scale. Much attention is given to buying prescription medications at the right price, but our focus is on selecting the right medications in the first place,” James Wallace, CEO of DecisionRx, said. “Our proprietary platform disrupts the one-size-fits-all prescribing paradigm. We’ve eliminated the barriers that prevent physicians from delivering the highest standard of personalized medication therapy supported by clinical science in partnership with our clinical pharmacists and informed by data-driven insights from genomics, medical claims and a comprehensive drug information knowledge base.”
“We are pleased to partner with DecisionRx in this important phase of growth for the company,” Akhil Bansal, head of credit strategic solutions at Carlyle, said. “DecisionRx’s focus on increasing prescribers’ efficacy of care can significantly improve patient outcomes and we believe this will play an important role in the future of value-based care.”
As part of the transaction, Carlyle will receive the option to acquire 25% of the outstanding equity of DecisionRx. Aon Securities served as an advisor to DecisionRx in arranging the financing. According to Sourna Daneshvar, managing director at Aon Securities, “In this transaction, Aon brought to bear its capabilities in the origination of private credit opportunities for institutional investors. We are proud to have acted as a trusted advisor and to have driven access to capital for DecisionRx.”
Carlyle’s credit strategic solutions team, a group within the firm’s global credit business focused on private fixed income and asset-backed investments, led this transaction. As of Sept. 30, 2023, Carlyle’s credit strategic solutions team had deployed more than $1.5 billion year to date.
