Candescent Healing

Candescent Healing

Company Overview

Develops and manages comprehensive advanced wound care and hyperbaric treatment centers in collaboration with general, not-for-profit acute care hospitals.

Leading developer and manager of comprehensive wound care centers offering advanced treatment and hyperbaric oxygen therapy. Portfolio company of Sverica International.

Situational Overview

Candescent needed to achieve greater scale in order to compete with its four largest competitors that were rapidly expanding their share of the market.

Candescent’s turnkey business model provided a superior value proposition to hospitals but was very capital intensive.

Candescent was capital constrained and needed to either find a new capital partner to fund new unit growth or sell to a competitor.

BCA Strategy

Positioned Candescent as uniquely situated to treat the growing obesity and diabetes epidemic and its resulting wound care needs.

Highlighted and contrasted Candescent’s turnkey, low capital intensity opportunity to not-for-profit hospitals to build new revenue streams with the more costly models of other wound care service competitors.

Emphasized the powerful, differentiated unit economic benefits of Candescent’s business model vis-à-vis competitors, along with its superior customer retention and predictable cash collection characteristics.

Effectively communicated to the top four industry participants that this was the last chance to either change or solidify their competitive position in the wound care market.

Transaction Result

Candescent was acquired by RestorixHealth, Inc., one of the top four providers of wound care management services in the United States.

Shareholders received 100% liquidity.

Sell-side Advisory to

“Brentwood Capital Advisors, our investment banker, played a critical role in structuring, negotiating and closing a transaction that exceeded our valuation objectives and provided the best partner to fund and accelerate growth.”

- Robert Nixon
CEO, Candescent Healing