Carrus weighing a sale, sources say

25 July 2020

Carrus, a Lehi, Utah-based online healthcare training business, has been talking to a narrow group of interested suitors about a potential sale, said three sources familiar with the situation. The company doesn’t have a formal process or advisor set up yet and has been quietly having conversations with strategics and sponsors for now, the sources added.

Carrus, a Lehi, Utah-based online healthcare training business, has been talking to a narrow group of interested suitors about a potential sale, said three sources familiar with the situation. 

 

The company doesn’t have a formal process or advisor set up yet and has been quietly having conversations with strategics and sponsors for now, the sources added.

 

The Revelstoke Capital Partners-backed company has around USD 10m to USD 15m in EBITDA, the sources added. The company has been primarily focused on a small group of strategics and sponsor-backed strategics in its conversations, one of the sources said.

 

Online learning companies have been selling for low teens multiples lately, including American Safety Council and Kalkomey Enterprises

 

Last year, a similar business focused on medical training and certifications, AAPC, was in a sale process and expecting a mid-teens valuation, as reported. Although the company, also based in Utah, never traded.

 

Carrus offers training and continuing education programs to help potential and established healthcare professionals along their career path. The company has trained hundreds of thousands of students and medical professionals and partnered with over 150 colleges and universities, according to its LinkedIn profile.

 

Revelstoke, a Denver-based private equity firm, acquired the company, then called Career Step, in 2015 from its previous sponsor DW Healthcare Partners, a Canadian private equity firm. Terms of the deal were not disclosed. Paul Hastings was the legal advisor to the company at the time, while William Blair served as financial advisor. Ally Corporate Finance and Norwest Mezzanine Partners provided debt financing.

 

Since then, Career Step had acquired several similar businesses, including Washington-based Emergency Certifications, Houston-based Medic-CE.com and Minnesota-based Panacea Healthcare SolutionsHogan Lovells served as legal advisor to the company in all three transactions.

 

Career Step and the other businesses were rebranded under a parent organization called Carrus in August 2019, according to an announcement

 

A spokeswoman for Carrus declined to comment. Revelstoke didn’t respond to a request for comment.