Investment Underscores Platinum Equity’s Continued Strength in the
Lower Middle Market
Los Angeles (Oct. 14,
2015) – Platinum Equity today announced it has signed a definitive agreement to
sell DMS Health Technologies (“DMS Health”) to Digirad Corporation (NASDAQ:
DRAD). The transaction is expected to
close by the end of 2015.
Fargo, North Dakota, DMS Health provides mobile diagnostic imaging and related
sales and services to small and regional hospitals throughout the country, with
a large concentration in the upper Midwest region. Platinum Equity acquired DMS
Health in February 2012 from Otter Tail Corporation.
“The success of DMS
Health again demonstrates the advantage Platinum Equity has in the lower middle
market, with nearly two decades of corporate carve out experience and a deep
bench of operations resources deployed in service of our portfolio companies,” said
Platinum Equity Partner Bob Wymbs, who oversees the M&A team focused on
lower middle market acquisitions. “That’s a powerful combination that benefits
corporate sellers, our portfolio companies, and the customers, employees and
other stakeholders those businesses serve.”
Over the past three
years, Platinum Equity worked closely with DMS Health to effect a seamless
transition from its former parent, focus the company on its core business
lines, assemble an experienced, cohesive leadership team, and establish new
imaging channel partnerships.
Mr. Wymbs said DMS
Health is well positioned for continued success under Digirad’s ownership.
“The business is
fundamentally strong, with a great management team and dedicated employees who
are committed to delivering for their customers,” said Mr. Wymbs. “It is a
great fit for Digirad going forward.”
About Platinum Equity
Founded in 1995 by Tom
Gores, Platinum Equity (www.platinumequity.com) is a global investment firm
with more than $6 billion of assets under management and a portfolio of
approximately 30 operating companies that serve customers around the world. In
2014, Platinum Equity portfolio companies generated more than $17 billion in
revenue. Platinum Equity specializes in mergers, acquisitions and operations –
a trademarked strategy it calls M&A&O® – acquiring and operating
companies in a broad range of business markets, including manufacturing,
distribution, transportation and logistics, equipment rental, metals services,
media and entertainment, technology, telecommunications and other industries.
Over the past 20 years Platinum Equity has completed more than 150 acquisitions.