Suwanee, GA – CriticalPoint is pleased to announce that it represented Star Equity Holdings, Inc., formerly known as Digirad Corporation (NASDAQ: STRR; STRRP) (“Star Equity” or the “Company”), in the sale of its mobile medical-imaging division, DMS Health Technologies, Inc. (“DMS Health”) to Knob Creek Acquisition Corporation. Proceeds from the sale will help to pay down debt and finance the Company’s growth strategy. The transaction closed on March 31, 2021 and follows the Company’s sale of its Medical Device Sales and Service business unit contracts to Philips North America in February of 2018.
DMS Health provides contract diagnostic imaging, including computerized tomography (“CT”), magnetic resonance imaging (“MRI”), positron emission tomography (“PET”), PET/CT, and nuclear medicine and healthcare expertise through a convenient, mobile service. For 2019, DMS Health generated revenue of $41.3 million, approximately 40.1% of the total revenue of the Healthcare division. To learn more about DMS Health please visit: www.dmshealth.com.
Star Equity is a diversified holding company with three divisions: Healthcare, Construction, and Investments. To learn more about Star Equity please visit: www.starequity.com.
“CriticalPoint understood our team’s goals throughout the process and was extremely helpful during our ownership of DMS Health,” stated Matt Molchan, CEO of Star Equity’s Healthcare division, Digirad Health, Inc. “Their strong industry, operational and financial knowledge ensured we maximized the transactional outcome for all of our stakeholders.”
The transaction demonstrates the long-standing partnership CriticalPoint Partners has had with the Company and the successful outcome of the sale of DMS Health is a testament to CriticalPoint’s role as a trusted advisor with proven abilities to deliver for its clients.
CriticalPoint served as the exclusive financial advisor to Star Equity in connection with the transaction.
Please contact Matt Young and Luke Ewing with any questions about this transaction.
Matt Young
Founder and CEO
Direct: (310) 321-4401
[email protected]
Luke Ewing
Director
Direct: (310) 697-8767
[email protected]
About CriticalPoint
Headquartered in Los Angeles, CriticalPoint is a leading full-service financial M&A firm that uniquely combines the best of investment banking, private capital, and valuation service offerings. CriticalPoint executes, sources, and invests in deals across a wide variety of industries for the traditionally underserved middle market. Since our founding in 2012, our mission has been to serve the needs of owners, entrepreneurs, management teams, and stakeholders with our experience, knowledge, and expert judgment, to help them realize their companies’ greatest potential. From our deep-rooted foundation in private equity and investment banking, and our devotion to deal origination and business development, combined with being entrepreneurs at heart, we believe we are differentiated and well positioned to help companies wherever they are in their life cycle.
