WCP joins with veteran healthcare executives to acquire Revenue Cycle Solutions

Waud Capital Partners ("WCP" or "Waud Capital"), a leading middle-market private equity firm, today announced that it has joined with veteran healthcare executives Mike Jacoutot and Mary Ann McLaughlin to acquire Revenue Cycle Solutions, Inc. ("RCS" or the "Company"). RCS will serve as the platform investment in WCP's effort to build a best-in-class patient account resolution company serving hospitals, hospital-based physician groups and other healthcare facilities nationwide.

Established in 2002 and headquartered in suburban Chicago, RCS partners with over 100 hospitals across the country and provides a wide range of account resolution services, including early-out self-pay, third-party insurance and aged receivables recovery. Through a patient-centric approach, from operations in Westchester, Illinois (headquarters) and Hoover, Alabama, the Company assists its clients with accelerating cash flow, increasing profitability and driving operational efficiencies in the revenue cycle.

"Partnering with Mike and Mary Ann to acquire RCS aligns with our strategy of backing successful executives to build market-leading companies in targeted industries," said David Neighbours, Partner at WCP. "Hospitals face increasing profit and process challenges with the continuing shift toward higher patient-responsibility for co-payments and deductibles. Given these challenges, healthcare revenue cycle improvement is a necessity and our platform is focused on providing unique business process outsourcing solutions."

Mike Jacoutot joins RCS as its Chief Executive Officer along with Mary Ann McLaughlin, who will serve as Chief Operating Officer. Mr. Jacoutot and Ms. McLaughlin have worked together successfully for almost two decades across three different companies; RCS marks their fourth such collaboration. Most recently, Mr. Jacoutot and Ms. McLaughlin led one of the country's leading hospital-focused healthcare staffing companies, doubling revenue and quadrupling EBITDA in their five-year tenure.

"We are very excited to be teaming up with Waud Capital to help us realize our growth plans for RCS. Waud Capital is a strong partner with a proven track record of growing healthcare service companies," Mr. Jacoutot said. "RCS provides the expertise, technology and infrastructure to help hospitals maximize revenue recovery and improve overall patient satisfaction," added Ms. McLaughlin.

"We analyzed a number of investment opportunities in the multi-billion dollar hospital account resolution market, and we were attracted to RCS because it gives us the immediate opportunity to expand the Company's geographic footprint and add additional service offerings through both organic and acquisition growth," said Eric Gordon, Vice President at WCP.