Global investment firm Carlyle announced on Thursday that the company has agreed to acquire CNSI from Alvarez & Marsal Capital Partners. The acquisition is expected to close by the end of the month, subject to customary closing conditions.
“We are delighted about this opportunity to partner with Carlyle as we continue to execute exquisitely for our clients, strengthen our market-leading products and solutions, and drive innovation that improves health outcomes and lowers costs,” said Todd Stottlemyer, CNSI CEO and a previous Wash100 Award recipient.
As a trusted partner to government agencies, CNSI develops, implements, operates and maintains mission-critical systems for Medicaid, Medicare, and related health programs through its claims and encounter processing, provider enrollment, analytics, program integrity, interoperability, and other solutions.
“Carlyle is a first-class organization, and I know from my previous experience working with them that they truly partner with their portfolio companies to help them achieve their vision and strategic growth objectives,” Stottlemyer added, who will continue to lead CNSI after the acquisition.
Dayne Baird, managing director at Carlyle, also expressed his enthusiasm to partner with Todd Stottlemyer and the CNSI management team. He highlighted CNSI’s success in the federal sector as the result of its technical leadership and proven track record of innovation and execution.
Baird acted as the exclusive financial advisor to CNSI in connection with the transaction. Baird Managing Director John Song also mentioned the success the company has achieved and the potential impact the partnership with Carlyle will have on the federal marketplace in the future.
“CNSI has achieved so much momentum in recent years and there is still a significant market opportunity as the tidal wave of modernization for government healthcare is yet to come,” said John Song, a 2021 Wash100 Award winner. “It will be exciting to see Todd Stottlemyer and his executive team partner up with Carlyle and really go after the market given the Company’s unique market position.”