Wellspring Capital-Backed RAYUS Radiology Acquires Diagnostic Centers of America, Bolstering its Growing Nationwide Network
Addition of Diagnostic Centers of America, the premier provider of outpatient radiology in South Florida, brings eight new centers and a partnership with Boca Radiology Group into the RAYUS Network
MINNEAPOLIS, Minn; October 13, 2021 – RAYUS Radiology, formerly Center for Diagnostic Imaging, a leading national provider of advanced diagnostic and interventional radiology, today announced the acquisition of Diagnostic Centers of America (DCA), a leading radiology provider with centers in West Palm Beach, East Boca Raton, West Boca/North Broward, Wellington, East and West Boynton Beach, Delray Beach and a newly opened location in Palm Beach Gardens. DCA’s radiology services are provided by subspecialized radiologists with the Boca Radiology Group (BRG), which conducts more than 550,000 procedures annually.
“Our acquisition of DCA was driven by our desire to partner with the Boca Radiology Group in this rapidly growing market in Florida to provide the highest-quality services to these growing communities,” said RAYUS Radiology Chief Executive Officer Kim Tzoumakas. “The team of highly skilled staff in South Florida will allow us to diversify our corporate support functions, bringing the best of RAYUS together with the best of DCA to execute on our national strategy while attracting team members across the country. The DCA team, together with BRG, built the highest-quality imaging centers with the leading radiologists in the market, and we are focused on continuing that legacy while accelerating growth in these markets and across Florida. Combining our national platform with DCA will create expanded research, access and cost-effective treatment for our patients.”
“BRG is very excited to partner with RAYUS. After exploring many options, it was quickly apparent that Kim Tzoumakas and RAYUS shared our vision of providing the best-in-class radiology services to our patients and referring physicians,” said Dr. Joseph Kleinman, President and Group Practice Chairman of Boca Radiology Group, “We look forward to expanding further into Palm Beach County and serving the health care needs of our community.”
Steven Shullman, CEO of Diagnostic Centers of America added, “Our goal was simple: find a strong innovative company that would retain our values and vision that was the foundation of our success.” For RAYUS Radiology, the acquisition of Diagnostic Centers of America is its eighth acquisition, growing from 123 centers to 148 centers nationwide in the past 12 months, as part of its aggressive growth that has followed Wellspring Capital Management’s acquisition in March 2019, and the recruitment of Kim Tzoumakas as CEO in March of this year.
“Wellspring’s support of our vision for growth has allowed us to successfully execute on multiple initiatives this year that have transformed the company for the benefit of our patients, physicians, hospital partners and communities across the country,” said Tzoumakas.
Specific terms of the transaction are not being disclosed. Ziegler Healthcare Corporate Finance advised DCA in the transaction.
About RAYUS Radiology
RAYUS Radiology is the nation’s leading subspecialty practice for advanced diagnostic and interventional radiology, with a network of imaging centers, hospital partnerships and short- and long- term hospital solutions. The organization, with more than 2,000 team members nationwide, is committed to delivering clinical excellence in communities across the United States, driven by its affiliated subspecialized radiologist network; compassionate, safe and cost-efficient care; and superior service to referring providers and patients. For more information, visit RAYUSradiology.com.
About Wellspring Capital Management
Wellspring Capital Management is a leading private equity firm headquartered in New York. Since its founding in 1995, Wellspring has raised over $4.5 billion of initial capital commitments through six private equity funds. In total, Wellspring’s current portfolio companies employ nearly 60,000 people around the world and generated aggregate revenues in excess of approximately $4.5 billion in the last 12 months.¹ Over the past 25 years, Wellspring has invested in over 45 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 seeks 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.
Note 1: As of 12/31/2020