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Wellspring Capital Management Acquires Center for Diagnostic Imaging

March 18, 2019

NEW YORK, March 18, 2019 (GLOBE NEWSWIRE) -- Wellspring Capital Management LLC (“Wellspring”), a New York-based private equity firm, today announced that it has closed the acquisition of Center for Diagnostic Imaging (“CDI”), a leading independent provider of outpatient diagnostic imaging services. Financial terms of the transaction were not disclosed.

Founded in 1981 and headquartered in Minneapolis, Minnesota, CDI is one of the nation’s leading providers of high-quality diagnostic imaging and interventional radiology services through its network of imaging centers, ambulatory surgery centers, and mobile imaging solutions. The organization, with nearly 2,000 associates nationally, is committed to delivering clinical excellence in communities across the U.S. driven by its affiliated subspecialized radiologist network, compassionate, safe and cost-efficient care, and superior service to referring providers and patients. CDI is one of the nation’s largest provider networks for radiology services and solutions.

Alex Carles, a Managing Partner at Wellspring, said, “The acquisition of CDI is an exciting opportunity to build on Wellspring’s successful track record in the healthcare sector. CDI has built an impressive reputation of providing high quality, patient-centered and readily accessible care through its longstanding relationships with leading radiologists, hospitals and health systems. We are very excited to partner with the CDI management team, led by Rick Long, to support CDI through its next phase of growth.”

Seth Pearson, a Partner at Wellspring, commented, “CDI’s commitment to delivering quality, access, service and value to patients, insurers and providers in local communities is very impressive. We look forward to continuing CDI’s mission of being the recognized leader in providing high-quality radiology services in all the markets it serves.”

Rick Long, President and CEO of CDI, added, “We are very pleased that Wellspring has invested in CDI given the firm’s history of building successful businesses in the healthcare sector. We are extremely proud of what our management team has accomplished and to have attracted a partner like Wellspring. The future is very bright for CDI and we look forward to working with Wellspring on this exciting new chapter for our organization.”

RBC Capital Markets served as financial advisor to Wellspring with respect to the transaction and McDermott Will & Emery LLP served as legal counsel. Jefferies served as financial advisor to CDI with respect to the transaction and Skadden, Arps, Slate, Meagher & Flom LLP served as legal counsel.

About Wellspring Capital ManagementWellspring Capital Management is a leading private equity firm headquartered in New York. Since its founding in 1995, Wellspring has raised over $4.0 billion of initial capital commitments through six private equity funds. Over the past 20 years, Wellspring has invested in over 35 platform investments across various segments of the U.S. and global economies. Wellspring’s objective is to bring partnership, experience and value creation to each investment. By teaming up with strong management, Wellspring is able to unlock underlying value and pursue new growth opportunities through strategic initiatives, operating improvements and add-on acquisitions. The firm functions as a strategic partner, providing management teams with top-line support, M&A experience, financial expertise and access to resources. For additional information, please visit www.wellspringcapital.com.

Matt Malloy: 952-738-4867