CareMax has secured a $100 million stalking-horse bid for its primary medical centers from a local company.

Miami-based CareMax announced it has entered into a stalking-horse purchase agreement with ClareMedica Health Partners, a Miami Lakes-based healthcare provider, for its core medical centers, which include the vast majority of its operational clinics. According to a filing with the SEC on November 25, the agreement includes $35 million in cash and $65 million in ClareMedica Health Partners stock, pending approval from the bankruptcy court.

In a motion filed with the U.S. Bankruptcy Court in Dallas, CareMax requested the court approve a December 28 deadline for submitting bids for its core medical centers, followed by an auction on January 6 and a hearing on January 28 to confirm the auction’s results.

ClareMedica, which received an investment from Denver-based private equity firm Revelstoke Capital Partners in early 2022, specializes in services for Medicare Advantage members.

CareMax, which filed for Chapter 11 bankruptcy on November 17, currently operates 46 clinics and employs about 1,100 staff. The company serves approximately 260,000 patients. In its bankruptcy filing, CareMax also disclosed that Nashville-based Revere Medical (formerly Rural Health Group) submitted a $10 million stalking-horse bid for its Medicare shared savings program, which serves 80,000 Medicare beneficiaries. CareMax plans to wind down its accountable care organization.

Following its bankruptcy filing, CareMax also moved to reject 29 leases.

On November 19, the bankruptcy court approved $122 million in debtor-in-possession financing for CareMax, which includes $30.5 million in new funding and the conversion of $91.5 million in prepetition loans into super-priority DIP loans.

CareMax also notified investors that its stock will be delisted from Nasdaq on November 29 due to the Chapter 11 proceedings.

Source:  SFBJ