(Cascadia Capital represented NightHawk Radiology in this transaction)
NightHawk Radiology Receives Investment of $25 Million From Summit Partners
Fast-Growing Overnight Teleradiology Services Provider Positioned for Long-term Success
April 7, 2004 (Coeur d'Alene, IDAHO) — NightHawk Radiology Holdings, Inc., a leading provider of off-hour, overnight teleradiology services for hospitals, radiology groups, and universities across America, today announced that it has received an investment of $25.0 million from Summit Partners, a leading private equity and venture capital firm with more than $5.5 billion in capital under management.
Founded in 2001, NightHawk employs U.S. trained American Board of Radiology certified physicians to provide preliminary radiological interpretations from its state-of-the-art central reading facility in Sydney, Australia. The physicians — who work off-hours from 8pm to 8am EST — electronically receive, read and respond to the submitted radiology scans in a transcribed report that is sent back to the attending physician within 20 minutes on average.
NightHawk has established a leadership position in the rapidly emerging market for off-hours radiology services. "NightHawk is filling a critical need which allows radiologists to meet the ever-increasing demand for their specialized expertise," said Dr. Paul Berger, NightHawk's President and CEO. "Our partnership with Summit Partners positions us to continue investing in our infrastructure and to execute our corporate mission of improving the quality of patient care as well as the quality of life for our clients."
Summit Partners' investment comes at a time of rapid growth for the three-year-old teleradiology services firm. Today, NightHawk provides services to more than 350 hospitals, radiology groups, and clinics. The company's staff of licensed, credentialed radiologists performs over 1,500 scans per night using NightHawk's proprietary workflow systems. The company is able to provide subspecialty expertise in emergency radiology due to its emphasis on recruiting the most qualified, U.S.-educated and trained radiologists.
"We are delighted to serve as NightHawk's financial partner. The company is recognized as the market leader in the burgeoning off-hours radiology services sector. We look forward to working with Dr. Berger and his team in as they continue to build a world-class company," said Peter Chung, General Partner of Summit Partners, who will join NightHawk's Board of Directors.
Cascadia Capital LLC served as NightHawk's financial advisor in this transaction.
About NightHawk Radiology Holdings
NightHawk Radiology Holdings is the leading provider of overnight and off-hours radiology coverage for hospitals and clinics across America. The company's mission is to improve the quality of healthcare through telemedicine. NightHawk's board-certified radiologists enable hospitals and clinics to provide excellent and responsive care in real time.
Key to NightHawk's success is its ability to recruit outstanding radiologists who are committed to providing subspecialty expertise in emergency radiology. All of Nighthawk's radiologists are American Board of Radiology Certified, and they have had additional fellowship training and teaching experience. In addition, the radiologists are fully licensed in the states in which they provide services. For more information, please visit www.nighthawkrad.net.
About Summit Partners
Summit Partners is a leading private equity and venture capital firm. The firm has a capital base of more than $5.5 billion, with offices in Boston, Palo Alto and London. Formed in 1984, Summit Partners has provided growth equity, recapitalization, and leveraged buyout financing to more than 250 companies, which have completed more than 100 public offerings and 80 strategic mergers or sales.
Summit Partners seeks outstanding management teams that have self-financed their companies to profitability and market leadership. Summit offers equity and subordinated debt financing for transactions from $2 to $250 million in a broad range of emerging growth industries, including technology, healthcare, business and financial services, and industrial and consumer products. For more information, please visit www.summitpartners.com.
About Cascadia Capital
Cascadia Capital offers corporate finance, mergers & acquisitions, strategic advisory services, and capital market services to companies across North America. Cascadia Capital serves emerging growth and middle market companies, both public and private. The firm focuses on the following sectors: Information Technology, Communications, Security & Defense, Healthcare, and Industrial & Consumer. For more information, please visit www.cascadiacapital.com.