Holding company Providence Service Corp. has signed an agreement with an affiliate of Frazier Healthcare Partners, a private equity firm based in Seattle, by which Frazier will own a majority stake in Matrix Medical Network.
Here are three things to know about the transaction.
1. Once the agreement is completed, Providence will retain a 40 percent equity interest in Matrix and have representatives on Matrix's board. Frazier will own a 60 percent equity interest in Matrix.
2. The transaction values Matrix, which was acquired by Providence in October 2014 for approximately $393 million, at $537.5 million.
3. Providence will receive gross cash proceeds of approximately $418 million before transaction costs, taxes and customary post-closing adjustments, according to both parties.