Medicare Insourcing Services

We’re pleased to have arranged a debt funding package to support Bay Tree Private Equity’s investment in a leading provider of clinical insourcing services to the NHS.

Founded in 2018, Medicare Insourcing Services (Medicare) partners with NHS Trusts to provide high-quality, advanced practitioner-led insourcing solutions throughout the UK. It works with more than 50 NHS Trusts and provides them with additional clinical capacity, which helps to reduce waiting times and improve the quality of care for patients. To date, its services have helped more than three million patients across the country.

The business has now received new investment from Bay Tree Private Equity, a UK-based private ‘deal by deal’ investor that focuses on the healthcare services market in addition to a number of other sectors , and partners with their management teams to support value creation.

Our Debt Advisory team was appointed by Bay Tree Private Equity to run a debt funding process as part of this transaction. Building on the current relationship and previous deals including the ABL Healthcare and Hawco acquisitions, we prepared the funding materials and ran a competitive process before securing debt facilities with OakNorth Bank.

It will be used to support CEO Scott Littlefield and his management team as they embark on the next phase of the business’ growth strategy alongside Stephen Collier (appointed as Chair as part of this transaction) bringing significant experience of supporting and scaling healthcare services businesses.

Tom Cox, Debt Advisory Partner at FRP Corporate Finance, said: “Medicare is a high-quality insourcing provider with strong clinical governance, advanced practitioner-led model, structural tailwinds supporting the delivery of clear public targets creating a compelling proposition for lenders. Its established clinician network and strong governance framework create a defensible competitive position, and the business benefits from high levels of repeat activity across a diversified base of Trust relationships, which combined with its asset-light, cash-generative model, enabled us to secure a competitive financing package.”

“We were pleased to support Bay Tree and the management team at Medicare throughout the debt process to deliver a successful outcome.”

Edward Cottrell, Partner at Bay Tree Private Equity, added: “Medicare operates in an attractive and growing segment of the UK healthcare market, providing essential additional capacity to the NHS. The business has developed a strong reputation for clinical quality and delivery.”

“We are delighted to be partnering with Scott and his team and look forward to supporting the business in its next phase of growth. We’d like to thank Tom and the team at FRP Corporate Finance for their support in running an efficient and effective debt raise process. The FRP team’s support in delivering a tailored debt solution from OakNorth in a short timeframe was much valued.”