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R1 RCM (NASDAQ:RCM) down 9.2% in after-hours trading after New Mountain Capital said it was no longer interested in making a joint proposal with TCP-ASC.
New Mountain and TCP-ASC have entered into discussions and mutual due diligence regarding a potential joint acquisition of the Company R1 RCM shares (RCM) is not owned by such parties or their affiliates, according to the 13/D filing on Monday. To date, these discussions have resulted in no agreement.
New Mountain Capital is open to the participation of TowerBrook Capital Partners and Ascension Health as equity co-investors in a potential transaction.
Johor Bahru revealed it was seeking to waive the standstill agreement in order to make the takeover proposal. The draft offer included a bid of $13.25 per share, down from New Bahru’s original draft offer of $13.75 in February.
In May, R1 RCM holder TCP-ASC received an exemption so it could launch a takeover bid with New Mountain Capital. Private equity firm New Mountain Capital, which owns more than 32% of R1 (RCM), said in April that it only wanted to acquire the company in conjunction with TowerBrook’s TCP-ASC. TowerBrook owns 36%.
