Private equity firms TowerBrook Capital Partners and Clayton, Dubilier & Rice are mulling a rival bid to take over R1 RCM, Bloomberg reported July 18.
Any bid would compete against a $13.25-per-share proposal made by R1's largest investor, New Mountain Capital, according to the report.
New Mountain and TCP-ASC — an investment vehicle jointly owned by TowerBrook and Ascension Health Alliance — previously discussed a joint proposal to take R1 private but were unable to come to an agreement, according to the report. New Mountain, which has a 32% interest in the company, decided to go solo on its offer.
Deliberations between TowerBrook and CD&R are ongoing and there is no certainty they will proceed with a bid, sources who asked not to be identified discussing confidential information told Bloomberg.
TowerBrook is R1's second-largest shareholder with about a 30% stake in the company, according to the report.