Digirad Corporation completed the acquisition of Project Rendezvous Holding Corporation from Platinum Equity, LLC.
January 01, 2016 at 09:30 am IST
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Digirad Corporation (NasdaqGM:DRAD) entered into an agreement to acquire Project Rendezvous Holding Corporation from Platinum Equity, LLC for $36 million in cash on October 13, 2015. Project Rendezvous Holding Corporation is the ultimate parent company of DMS Health Technologies, Inc. Digirad Corporation expects to fund payment of the purchase price with a combination of cash-on-hand and committed financing from Wells Fargo in the form of a senior secured credit facility of up to $40 million. Project Rendezvous reported total revenue of $66.99 million, total assets of $15.98 million, operating income of $3.78 million, net income of $7.86 million and total common equity of $14.24 million for the year ending, December 31, 2014. The Transaction is not subject to approval by the stockholders of Digirad Corporation and is expected to close before the end of the year. The deal is subject to the satisfaction of customary closing conditions. Transaction expected to be immediately accretive to Digirad's earnings and cash flow on an adjusted basis.
Adam Finerman, Johnathan Duncan, Mark Limardo, Andrew Lustigman, Karen Scheffler, Hyman Kindler and Jeremy King of Olshan Frome Wolosky LLP acted as legal advisor for Digirad. Timothy Rupp, Sara Carian and Jung Han of Morgan, Lewis & Bockius LLP served as legal counsel to Platinum Equity. Clayton Wilson of Raymond James & Associates Inc. acted financial advisor for Platinum Equity. Ryan Guthrie, Stan Huang and Nate Collins of BDO LLP acted as due diligence provider in the transaction.
Digirad Corporation (NasdaqGM:DRAD) completed the acquisition of Project Rendezvous Holding Corporation from Platinum Equity, LLC on January 1, 2016.
Star Equity Holdings, Inc. is a diversified holding company. The Company operates through two divisions: Building Solutions and Investments. The Building Solutions division operates in three businesses: modular building manufacturing; structural wall panel and wood foundation manufacturing, including building supply distribution operations; and glue-laminated timber (glulam) column, beam, and truss manufacturing. The modular building manufacturing business services the northeast United States and is operated by KBS Builders, Inc. (KBS) in Maine. The structural wall panel and wood foundation manufacturing business is operated by EdgeBuilder, Inc., and the retail building supplies are sold through Glenbrook Building Supply, Inc. (Glenbrook). The Companyâs Investments division manages and finances the Companyâs real estate assets as well as its investment positions in private and public companies. Its Investments division also holds and manages two manufacturing facilities in Maine.