R1 RCM, a revenue cycle management company based in Murray, Utah, has announced its acquisition by investment funds affiliated with TowerBrook Capital Partners and Clayton, Dubilier & Rice (CD&R). The all-cash deal values R1 at approximately $8.9 billion.

Founded in 2003, R1 RCM provides essential services to hospitals, health systems, and physician groups throughout the United States. The acquisition marks a significant move in the healthcare sector, highlighting the growing interest in revenue cycle management solutions.

TowerBrook Capital Partners, established in 2001 and headquartered in New York, is an investment management firm that focuses on private equity and structured opportunities across various sectors, including healthcare. Their investment strategy emphasizes impact opportunities, aligning with the increasing demand for efficient healthcare management.

CD&R, founded in 1978 and also based in New York, is a private investment firm that targets a diverse range of industries, with a strong emphasis on healthcare. The firm is known for pursuing various investment types in North America and Western Europe, often seeking to enhance portfolio companies through strategic add-ons.

This acquisition reflects the ongoing trend of private equity firms investing in healthcare-related businesses, aiming to capitalize on the sector's growth potential.