Scoop: Coronis Health seeks buyer

Coronis Health, a tech-enabled physician billing and revenue cycle management company, is exploring a sale, multiple sources tell Axios.

Why it matters: A financial sponsor-centric process is well underway, with Guggenheim Securities engaged as a sell-side adviser.

• The Baltimore, Maryland-based company is marketing adjusted EBITDA of about $50 million, sources say.

Zoom in: Coronis, which currently employs more than 900 and processes more than 8 million claims a year, has scaled through an aggressive acquisition playbook.

• Founded in 2015, Coronis plays across pathology, behavioral health, hospital and surgery centers, primary care and specialty physicians, anesthesia, and emergency medicine.
• The company has operations in both the U.S. and India, the latter in which it has a captive-site offshore model, where it employs locals rather than contract employees.
• This is unique among RCM players that offshore.
• In January 2021, the company received just over $3 million in growth capital from 424 Capital, Plexus Capital and Eagle Private Capital, according to PitchBook.

State of play: Recent deals involving offshore RCM companies, like GeBBs Healthcare Solutions or AGS Health, have been said to trade in the low-double-digits or low teens.

• India's ChrysCapital in 2018 spent 10 billion rupees (about $142 million) for an 80% stake in GeBBs, the Economic Times wrote.
• Baring Private Equity Partners Asia bought AGS at a reported $320 million, off of $27 of EBITDA, The Times of India reported.

Coronis did not return requests for comment, while Guggenheim declined to comment.