CareWorx, a Top 100 Vertical Market MSP focused on senior healthcare facilities, has closed a $17 million round of funding from Kayne Partners.
CareWorx launched in 2006 and eventually carved out a niche for itself in the senior care business by offering a suite of managed services, including 24-7 service desk, remote monitoring and management, IT Service Management (ITSM), and managed end-user devices.
CEO Mark Scott is an MSP industry pioneer. He previously was CEO and co-founder of N-able Technologies, leading the RMM (remote monitoring and management) software provider before transitioning out of that business. SolarWinds later acquired N-able amid the MSP software M&A frenzy of 2013.
Fast forward to present day, and Scott is plenty busy with CareWorx. The Ottawa-based company currently operates across North America and the UK. The firm plans to use the investment to accelerate growth in the senior care sector, expand existing managed services and security offerings, and finance acquisitions within the managed services, senior care, and ServiceNow ecosystems.
CareWorx began operating in 2006 and ultimately carved out a niche for itself in the senior care business by offering a complete suite of managed services, including 24-7 service desk, remote monitoring and management, IT Service Management (ITSM), and managed end-user devices.
The Ottawa-based company currently operates across North America and the UK. It said it plans to use the investment to accelerate growth in the senior care sector, expand existing managed services and security offerings, and finance acquisitions within the managed services, senior care, and ServiceNow ecosystems.
CareWorx Inflection Point
CareWorx solidified its market focus in 2016 amid a merger with TUC Managed IT Solutions. Instead of focusing on the broad healthcare vertical, CareWorx studied market demographics and pushed deeper into IT services for senior care facilities.
In 2015, more than 600 million people around the world were above 60 years old, with the number expected to double in the near future. Countries like China, India, the US, Canada, and Mexico may quadruple that number by the end of this decade, according to the research from Technavio.
In a prepared statement describing the CareWorx investment, Kayne Managing Director Leon Chen said:
“With CareWorx, we see an organization that truly understands the technology needs of today’s businesses and, perhaps more importantly, understands where those businesses need to be tomorrow. As active investors across a number of fast-growing industries, including healthcare IT, we believe Kayne will be able to bring meaningful value to this partnership."
CareWorx's Scott added:
“This strategic investment by Kayne Partners is exciting for the CareWorx team and good news for our customers across North America and in the UK. Capitalization of our business will speed us towards fulfilling our goals by securing our leadership position in managed services and senior care. The expertise, industry network and guidance of Kayne Partners will greatly strengthen our leadership team as we march forward together.”
