CareWorx Corporation, a portfolio company of CIBC Innovation Banking and EPIC Capital, has raised $17 million in growth equity funding from Kayne Partners, the growth private equity group of Kayne Anderson Capital Advisors, L.P.
Leon Chen, Managing Director of Kayne Partners, will join CareWorx’ board of directors as part of the financing.
Founded in 2006, CareWorx provides a complete suite of managed services for mid-market and senior care businesses, including 24×7 service desk, remote monitoring and management, IT Service Management (ITSM) and managed end-user devices.
CareWorx was formed from the merger of CareWorx Inc. and TUC Managed IT Solutions in 2016. Wellington Financial LP, now part of CIBC Innovation Banking, led funding for the merger, with EPIC Capital’s healthcare fund also participating
CareWorx plans to use this investment to accelerate growth in the senior care market; expand existing managed services and security offerings; and finance acquisitions within the managed services, senior care and ServiceNow ecosystems.
“The CareWorx team has decades of market leadership in managed services and over 12 years as the Senior Care industry’s leading provider of technology solutions,” said Chen. “With CareWorx, we see an organization that truly understands the technology needs of today’s businesses and, perhaps more importantly, understands where those businesses need to be tomorrow. As active investors across a number of fast-growing industries, including healthcare IT, we believe Kayne will be able to bring meaningful value to this partnership.”
“This strategic investment by Kayne Partners is exciting for the CareWorx team and good news for our customers across North America and in the UK,” said Mark Scott, Founder and CEO of CareWorx Corporation. “Capitalization of our business will speed us towards fulfilling our goals by securing our leadership position in managed services and senior care. The expertise, industry network and guidance of Kayne Partners will greatly strengthen our leadership team as we march forward together.”
“As the first institutional investor in CareWorx, EPIC is very excited with the prospects of the company being backed by a tier-1 private equity firm like Kayne,” added David Fawcett, Managing Partner at EPIC Capital.
Founded in 1984, Los Angeles, California based Kayne Anderson Capital Advisors, L.P. is a leading alternative investment management firm focused on niche investing in upstream oil and gas companies, energy and infrastructure, specialized real estate, growth equity and both private credit and diversified liquid credit. Kayne manages nearly $27 billion in assets (as of 1/31/2018) for institutional investors, family offices, high net worth and retail clients and employs over 300 professionals in eight offices across the U.S.
photo credit: CareWorx