PathGroup’s Recapitalization

Latham & Watkins advised GTCR, while Kirkland & Ellis advised PathGroup in the transaction.

GTCR, a leading private equity firm, has announced that it has made a majority investment in PathGroup Holdings LLC (PathGroup or the Company) in partnership with founder and CEO Ben Davis, MD and the PathGroup management team. As part of GTCR’s Leaders Strategy™, Dave King, the former Chairman and CEO of Labcorp, will join the PathGroup Board as Chairman, partnering with Dr. Davis and GTCR to further invest in PathGroup’s capabilities across the pathology, molecular, and genetic diagnostics modalities. Pritzker Private Capital and Vesey Street Capital Partners will also be retaining a minority ownership stake in the Company alongside GTCR and the PathGroup management team. 

Founded in 1980, GTCR is a leading private equity firm focused on investing in growth companies in the Business & Consumer Services, Financial Services & Technology, Healthcare and Technology, Media & Telecommunications industries. 

Founded in 1965, PathGroup is a premier provider of anatomic, clinical, molecular, and digital pathology services in the United States.

BofA Securities and Nomura Securities served as financial advisors to PathGroup. 

Latham & Watkins LLP advised GTCR in the transaction with a corporate deal team led by Chicago partners Bradley Faris (Picture) and Jason Morelli, with associates Sean Parish, Jacob Saslow, Grace Kim, Micah Kamoe, and Byron Patton. Advice was also provided on tax matters by New York partner David Raab, with associate Ronald Moore; on benefits and compensation matters by New York partner Bradd Williamson and Chicago counsel Sandhya Chandrasekhar, with associates Max Raskin and Annie Anderson; on antitrust matters by San Diego partner Hanno Kaiser, Washington, D.C. counsel Britton Davis, and Bay Area counsel Jason Daniels, with associate Elise Nelson; on labor matters by Chicago partner Nineveh Alkhas, with associate Ana Cenaj; on intellectual property matters by New York partner Jeffrey Tochner, with associates Dewey Kang and Zachary Shufro; on private equity finance matters by Washington, D.C. partners Jennifer Van Driesen and Benjamin Berman, with associates Jennifer Kent, Khushboo Agarwal, Rebecca Lamb, Jake Goodman, and Kevin Schoonveld; and on environmental matters by Los Angeles counsel Joshua Marnitz, with associate Nick Eberhart. 

The Kirkland team was led by corporate partner Adam Wexner and associates Kevin Stocks, Matthew Brandys and Zackary Theo, with support from corporate partner Benjamin Clinger, tax partner Tom Evans and associate Ruth Thomson, healthcare partners Dennis Williams, Chad Ehrenkranz and Melesa Freerks and associates Kelly McGinnis and Brittany Strandell, capital markets partner Bob Goedert and associate Monica Norzagaray, debt finance partner Michelle Kilkenney and associate Ellen Horne, technology & IP transactions partner Dan Lewis and associate Jake Lipnik, real estate partner Josh Faulkner and associate David Arbus, executive compensation partner Michael Falk and associates Deidre Kalenderian and Rebecca Arnall, employee benefits partner Alexandra Mihalas and associate Ted Brown, labor and employment partner Michael Schulman and associate Kayla Davis, environmental transactions partner James Dolphin and associate Michelle Sliwinski and antitrust partners Mike Thorpe, Matthew Reilly and Stephanie Greco and associates Kelsey Laugel and Emily Hsu.

Involved fees earner: David Arbus – Kirkland & Ellis; Rebecca Arnall – Kirkland & Ellis; Matthew Brandys – Kirkland & Ellis; Theodore Brown – Kirkland & Ellis; Benjamin Clinger – Kirkland & Ellis; Kayla Davis – Kirkland & Ellis; James Dolphin – Kirkland & Ellis; Chad Ehrenkranz – Kirkland & Ellis; Thomas Evans – Kirkland & Ellis; Michael Falk – Kirkland & Ellis; Joshua Faulkner – Kirkland & Ellis; Melesa Freerks – Kirkland & Ellis; Robert Goedert – Kirkland & Ellis; Stephanie Greco – Kirkland & Ellis; Ellen Horne – Kirkland & Ellis; Emily Hsu – Kirkland & Ellis; Deidre Kalenderian – Kirkland & Ellis; Michelle Kilkenney – Kirkland & Ellis; Kelsey Laugel – Kirkland & Ellis; Daniel Lewis – Kirkland & Ellis; Jake Lipnik – Kirkland & Ellis; Kelly McGinnis – Kirkland & Ellis; Alexandra Mihalas – Kirkland & Ellis; Monica Norzagaray Pedraza – Kirkland & Ellis; Matthew Reilly – Kirkland & Ellis; Michael Schulman – Kirkland & Ellis; Michelle Sliwinski – Kirkland & Ellis; Kevin Stocks – Kirkland & Ellis; Brittany Strandell – Kirkland & Ellis; Zackary Theo – Kirkland & Ellis; Ruth Thomson – Kirkland & Ellis; Michael Thorpe – Kirkland & Ellis; Adam Wexner – Kirkland & Ellis; Dennis Williams – Kirkland & Ellis; Khushboo Agarwal – Latham & Watkins; Nineveh Alkhas – Latham & Watkins; Annie Anderson – Latham & Watkins; Benjamin Berman – Latham & Watkins; Ana Cenaj – Latham & Watkins; Sandhya Chandrasekhar – Latham & Watkins; Jason Daniels – Latham & Watkins; Brittany Davis – Latham & Watkins; Nick Eberhart – Latham & Watkins; Bradley Faris – Latham & Watkins; Jake Goodman – Latham & Watkins; Hanno Kaiser – Latham & Watkins; Micah Kamoe – Latham & Watkins; Dewey Kang – Latham & Watkins; Jennifer Kendrex – Latham & Watkins; Rebecca Lamb – Latham & Watkins; Joshua Marnitz – Latham & Watkins; Ronald Moore – Latham & Watkins; Jason Morelli – Latham & Watkins; Elise Nelson – Latham & Watkins; Sean Parish – Latham & Watkins; Byron Patton – Latham & Watkins; David Raab – Latham & Watkins; Max Raskin – Latham & Watkins; Jacob Saslow – Latham & Watkins; Kevin Schoonveld – Latham & Watkins; Zachary Eli Shufro – Latham & Watkins; Jeffrey Tochner – Latham & Watkins; Jennifer Van Driesen – Latham & Watkins; Bradd Williamson – Latham & Watkins; Grace Kim – Ropes & Gray;

Law Firms: Kirkland & Ellis; Latham & Watkins; Ropes & Gray;

Clients: GTCR; PathGroup;