Allied OMS and its Doctor Shareholders Secure $116 Million Credit Facility

Leading Healthcare Commercial Banks Provide Capital to Fuel Growth

SOUTHLAKE, TX / ACCESSWIRE / May 14, 2024 / Allied OMS, the first and only doctor-led and governed management services organization (MSO) for top-tier oral and maxillofacial surgery practices, announced today that it has closed on a $116 million credit facility from four leading banks in the healthcare sector.

KeyBanc Capital Markets served as left lead arranger for the syndicate, which includes BankUnited, N.A., Umpqua Bank, and First-Citizens Bank & Trust Company.

The capital commitment is Allied OMS's first round of outside financing. It will fund the MSO's next phase of growth, specifically partnering with future OMS practices, building de novos and satellite offices to further support its doctors, and recruiting world-class practitioners into existing practices across the U.S. in keeping with the platform's high standards of quality and safety and commitment to furthering innovation and advancements in the specialty.

"Access to credit continues to be a challenge in the current market. We created this new facility with our commercial lenders to provide capital for our current and future shareholders at rates significantly lower than what traditional private equity-backed groups have been able to obtain," said Dan Hosler, Co-Founder and CEO, Allied OMS and Managing Partner, DuneGlass Capital. "We have taught our doctors about the differences in capital structures, what those mean for them as shareholders, and how to deploy the resources to deliver outstanding patient outcomes for decades to come."

Ryan Stilphen, Managing Director, KeyBanc Capital Markets Syndicated and Leveraged Finance, led the facility raise and noted, "Allied OMS's doctor-owned structure was especially appealing, given the strong alignment of interests, recession-resilient industry, and engaged, dedicated shareholders on the platform."

According to Hosler, the funding reflects the platform's solid track record and delivers on Allied's founding principles - better alignment of interests, better transparency into the MSO and private equity business models, and better economics for doctors - woven into every facet of the business. "Our success is a direct result of DuneGlass Capital's Doctor Equity^TM model - specifically designed to make doctors more informed shareholders and to align the interests of all stakeholders - patients, doctors and staff, investors, and lenders."

Court Houseworth, Managing Director, Cain Brothers, a division of KeyBanc Capital Markets, added, "Allied OMS continues to redefine the structure of a traditional PE-backed MSO. Their commitment to ensuring shareholder alignment was a significant factor in the market appetite for this opportunity and makes them a highly desirable partner for future investment."

Miller Johnson provided legal counsel to Allied OMS, while Harris Williams served as Allied OMS's financial advisor in this transaction.

About Allied OMS
Allied OMS is a doctor-owned, doctor-led, and doctor-governed management services organization (MSO) in the oral and maxillofacial surgery space that combines the best of private practice with the best of private equity.

Leveraging decades of experience building platform businesses in the healthcare industry and collectively owned by member surgeons, private equity, and management consulting veterans, Allied OMS offers essential tools for maximizing practice value.

Grounded in clinical excellence, doctors in the Allied OMS network maintain essential roles in management, governance, and clinical practice and participate directly in the platform's growth. Seventy-five percent of the Allied OMS board of directors are doctor members, and Allied OMS doctors lead 100% of the platform's management committees.

Founded in 2020 in partnership with DuneGlass Capital, a healthcare services-focused independent sponsor, the Allied OMS network now includes 60 doctors serving patients from 39 locations in California, Colorado, Illinois, Louisiana, Maryland, Michigan, New York, Oregon, Tennessee, Texas, and Virginia. For more information, please contact partner@alliedoms.com or visit alliedOMS.com.

About DuneGlass Capital
DuneGlass Capital was founded in 2018 to help independent healthcare practices realize their full potential. With expertise in multi-unit operations, private equity deal structuring, and healthcare business strategy, the founders of DuneGlass Capital have created a repeatable process for value creation so that doctors and entrepreneurs across medical and dental specialties can turn private equity into Doctor Equity™.

Having grown up in families steeped in medicine and dentistry, DuneGlass Capital executives understand the difficulties of private practice and how important it is to mentor their clinical shareholders about private equity to maximize the intrinsic value of their practices. Email partner@duneglasscapital.com or visit duneglasscapital.com to learn more.

About Cain Brothers and KeyBanc Capital Markets
Cain Brothers, a division of KeyBanc Capital Markets, is a pre-eminent healthcare investment bank providing innovative solutions in mergers & acquisitions, debt, and equity financing, and strategic and financial advisory to healthcare services, health tech, medical technology, and life sciences clients.

KeyBanc Capital Markets is a leading corporate and investment bank providing capital markets and advisory solutions to dynamic companies capitalizing on opportunities in changing industries. Our deep industry expertise, broad capabilities and unique ideas are seamlessly delivered to companies across the Consumer & Retail, Diversified Industries, Healthcare, Industrial, Oil & Gas, Real Estate, Utilities, Power & Renewables, and Technology verticals. With over 800 professionals across a national platform, KeyBanc Capital Markets has more than $50 billion of capital committed to clients and an award-winning Equity Research team that provides coverage on over 500 publicly traded companies. Securities products and services are offered by KeyBanc Capital Markets Inc., member FINRA/SIPC, and its licensed securities representatives, who may also be employees of KeyBank N.A. Banking products and services, are offered by KeyBank N.A.

Media Contacts
Sara Tumen Weinberg
Vice President, Marketing and Communications
Allied OMS
847.682.0802
sweinberg@alliedoms.com
www.alliedoms.com

Sandra Galvin
Media Relations
Galvin Ink LLC
646.421.9403
sandra.galvin@galvinink.com

SOURCE: Allied OMS