#USA #Stamford #Olympus Partners #EyeSouth Partners #Retina Business

Olympus Partners Divests EyeSouth's Retina Business

In a notable financial move, Olympus Partners has finalized an agreement to sell the retina business of EyeSouth Partners for a substantial sum of $1.1 billion. This strategic divestiture underscores the dynamics in the eye-care sector and highlights Olympus's confidence in EyeSouth's trajectory. EyeSouth, recognized as a management services organization dedicated to eye care, has firmly positioned itself in the ophthalmology field through partnerships with leading eye specialists and medical optometrists, focusing on the delivery of exceptional medical and surgical eye care.

EyeSouth's Evolution Under Olympus

Growth and Expansion
Since Olympus acquired EyeSouth, the company has witnessed remarkable growth, achieving substantial increases in its operational scale and reach. Over the last three years, EyeSouth has broadened its network by adding more than 130 physicians and expanding its services into three new states: Michigan, North Carolina, and South Carolina. This growth reinforces EyeSouth's commitment to improving patient care and expanding its clinical capabilities across various regions.

Leadership Statements
Griffin Barstis, a Partner at Olympus Partners, expressed pride in the progress facilitated under their stewardship. He noted, “We are immensely proud of Rex and the team for growing the business while remaining a patient-first, physician-led, medically focused ophthalmology platform.” This success showcases Olympus Partners' strategic foresight and their alignment with EyeSouth’s mission to enhance patient outcomes.

Rex Adams, the CEO of EyeSouth Partners, echoed this sentiment, deeming their partnership with Olympus as transformational. He stated, “Our partnership with Olympus has been transformational. We are excited to continue working alongside Olympus as we continue to grow the platform while remaining focused on delivering outstanding care for our patients and supporting our physicians.”

Future Directions Post-Transaction

Post-transaction, Olympus will continue to maintain ownership of the Anterior segment of EyeSouth’s business, a move that indicates a strategy of operational segmentation for optimized growth. The decision was rooted in recognizing the potential for separate ownership of the anterior and posterior segments of the ophthalmic platform, allowing each to focus on their respective markets and enhance growth potential.

Team and Advisory Support
The transaction had the support of a comprehensive advisory team, including Jefferies LLC as financial advisor for both Olympus and EyeSouth, alongside legal counsel from Kirkland & Ellis LLP. Cencora was also involved, with BofA Securities and Citi advising on financial aspects, highlighting the intricate nature of big transactions within the healthcare sector.

About Olympus Partners

Founded in 1988, Olympus Partners is a prominent private equity firm, managing over $12 billion primarily for corporate pension funds, endowment funds, and state-sponsored retirement programs. The firm specializes in investing in middle-market companies across diverse sectors, with a strong focus on business services, healthcare services, consumer products, financial services, and industrial operations.

This landmark sale not only marks a new chapter for both Olympus and EyeSouth but also signifies the ever-evolving landscape of the healthcare industry, driven by specialized partnerships and strategic investments. As EyeSouth continues to push boundaries in the ophthalmology space, stakeholders remain optimistic about the future developments springing from this transformative transaction.