Private equity-backed Regatta Medical buys majority stake in Resonetics

Private equity firm GTCR’s portfolio company Regatta Medical said today it acquired a majority stake in Resonetics, with its current management team led by CEO Tom Burns slated to continue their roles with the company.

The deal, which included an increased investment from previous owner Sverica, is slated to close sometime in early February, Boston-based Sverica said.

“Tom and the Resonetics team have built an exciting platform company. We look forward to investing in the business, further building out its scale and capabilities and becoming an increasingly valuable partner to our growing base of customers,” Regatta Medical CEO & Resonetics board director Chip Hance said in a prepared statement.

“Resonetics has an excellent track record of fabricating quality medical devices using innovative technologies and we look forward to investing additional capital to support both organic initiatives and strategic follow-on acquisitions,” GTCR managing director Sean Cunningham said in a prepared release.

Chicago-based GTCR and Regatta Medical said the recapitalization will be funded from private equity fund GTCR Fund XII, which raised $5.3 billion in limited partner capital commitments last year.

Existing Resonetics management and Sverica will retain minority stakes in the company, Regatta Medical said.

“Sverica has been a great partner, supporting the dramatic growth of Resonetics over the last three years. GTCR has an impressive track record in the healthcare space helping companies grow via organic initiatives and through strategic acquisitions. We look forward to continuing the relationship with Sverica and working with Chip and GTCR to enhance our ability to serve the medtech industry with a broader set of capabilities,” Resonetics CEO Tom Burns said in prepared remarks.

“Resonetics has been a very successful growth story for Sverica’s business-builder model across our high-value industrial and Healthcare verticals. We were very pleased to extend the relationship with Chip Hance, Tom Burns and the Resonetics team, and to work with GTCR and the resources they will bring to bear to continue to grow and scale the company,” Sverica managing director Dave Finley said in a press release.

Disclosure: Resonetics is a customer of WTWH Media.

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