ALPHARETTA, Ga., June 30, 2017 /PRNewswire/ -- Angelica Corporation, the leader in healthcare linen and medical laundry services, today announced the completion of the sale of substantially all of its and its subsidiaries' assets as a going concern to KKR.
Under KKR's ownership, the business is moving forward with the Angelica name and will continue to be the leading provider of linen services to the healthcare industry, serving more than 3,800 hospitals, clinics, and long-term care facilities across the country.
In connection with the closing of the transaction, Cary B. Wood has been named Angelica's President and Chief Executive Officer, effective immediately. Mr. Wood, who succeeds David A. Van Vliet, has over 20 years of experience improving operations, enhancing customer relationships, and optimizing overall financial strength while prudently deploying capital to improve both top- and bottom-line results.
"I am pleased to be part of the next chapter in Angelica's storied 139-year history and look forward to working with the company's dedicated employees to drive growth and success," Mr. Wood said. "Partnering with KKR as our long-term investor, we will focus on quickly strengthening Angelica's operations and finances while continuing to grow our customer base by providing our AngelTrak® RFID linen management system to customers who elect to use this industry-leading technologically-based approach that provides optimized and efficient linen services. Our top priority is ensuring we continue to deliver exceptional service to our customers. Looking ahead, we are focused on driving profitability, increasing operational efficiencies, implementing best practices, and improving our organizational effectiveness."
Rony Ma, Principal on KKR's Credit team, said, "We are enthusiastic about Angelica's future prospects and are excited to have Cary leading the company as President and CEO. With a stronger financial foundation and the full support of KKR, Angelica is poised to build on its position as an industry leader with a national footprint and long-term partnerships with key customers. Cary's significant experience and strong track record give us confidence that he is the right person to lead Angelica through its next phase of growth. We look forward to working closely with Cary and the Angelica team to leverage the company's pioneering technology solutions and best-in-class service."
KKR is primarily making the investment through funds affiliated with its Direct Lending strategy.
Weil, Gotshal & Manges LLP served as legal counsel to Angelica, Alvarez & Marsal served as restructuring advisor and Houlihan Lokey, Inc. served as investment banker and financial advisor.
Paul, Weiss, Rifkind, Wharton & Garrison LLP served as legal counsel to KKR along with Jones Day which served as KKR's counsel on labor and benefits matters.
About Cary B. Wood
Prior to joining Angelica, Mr. Wood served as President and CEO of Sparton Corporation; interim-CEO, Chief Operating Officer and Group Vice President at Citation Corporation; and held various leadership positions at Delphi, UT Automotive, Elkay Manufacturing and Formica. Mr. Wood received a Bachelor of Science in Manufacturing Technology from Purdue University, a Master of Science in Industrial Operations from Lawrence Tech University, and a Master of Business Administration in Finance from Loyola University-Chicago.
Angelica is the leading provider of textile rental and linen management services to the U.S. healthcare market. The organization provides laundry and linen management services to hospitals, long term care facilities, and out-patient medical practices from service centers across the nation.
KKR is a leading global investment firm that manages investments across multiple asset classes including private equity, energy, infrastructure, real estate, credit and hedge funds. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and driving growth and value creation at the asset level. KKR invests its own capital alongside its partners' capital and brings opportunities to others through its capital markets business. References to KKR's investments may include the activities of its sponsored funds. For additional information about KKR & Co. L.P. (NYSE:KKR), please visit KKR's website at www.kkr.com and on Twitter @KKR_Co.
Jon Blake, General Counsel
Kristi Huller or Cara Kleiman
SOURCE Angelica Corporation