Periculum Advises Micro-Dyn Systems in its Sale to The Brydon Group

Periculum Capital Company, LLC is pleased to announce it has advised Micro-Dyn Medical Systems, Inc., a leading health care software company, in its acquisition by The Brydon Group.

After 34 years of building Micro-Dyn, Bill and Janell Voss worked with Periculum to execute a once-in-a-lifetime transaction by finding a unique buyer for the Company.

Bill and Janell Voss co-founded Micro-Dyn in 1989 and since then health plans, providers, consultants and other customers have relied upon Micro-Dyn for complex data validation, grouping and reimbursement calculations software that incorporates the data and specifications from the Centers for Medicare & Medicaid Services. As a scalable, highly-profitable software company led by the founders who were critical to the ongoing success of the business, Bill and Janell worked with Periculum to find a buyer that could quickly build a team to which all operations seamlessly transitioned shortly after closing. Periculum found, among other potential suitors, The Brydon Group – a Washington, D.C. based private equity investor that specializes in acquiring software businesses in partnership with top mid-career executives.

Considering Bill was the chief software architect and Medicare expert for the Company, completing a successful sale of Micro-Dyn would depend greatly on a buyer’s ability to transition the software products and customer relationships from Bill to a team with experience in both Microsoft software architecture and the intricacies of several Medicare prospective payment systems. Aside from considering the obvious strategic buyers that might have this rare combination of expertise, Bill and Janell knew they would be on the hunt for a uniquely positioned acquirer.

Utilizing its proprietary database of information about potential buyers that has been built over 25 years since its founding in 1998, Periculum designed a customized sell-side process to find that “needle-in-a-haystack” buyer. The result was uncovering The Brydon Group, which having already partnered with two CEOs in residence, were searching for a health care software business to acquire that would leverage their extensive personal backgrounds in Medicare actuarial and strategy consulting. Micro-Dyn found the perfect match with the Brydon team.

“Bill and Janell built an amazing software business with a blue-chip health plan customer base, but with the limited bench strength of the product and technical team our buyer universe would be constrained to players that could effectuate a complicated transition of a niche software platform and operation,” said Sean Frazer, Managing Director at Periculum. “This required our team to leverage our national network to uncover prospects who were not the ‘usual suspects’ of health care software M&A.”

“The Periculum team was absolutely great to work with. They brought their considerable resources to bear with an intelligent, focused approach to find the right buyer for the company that we’d spent a lifetime building,” said Bill Voss. “The team at Periculum was always there to guide us through the many complexities of selling our business, and to make the due diligence process run smoothly. We couldn’t be happier with our choice of an investment banker and the results we achieved.”

In addition to Periculum, Bill and Janell were supported through the transaction by the KSM Transaction Advisory Services team, led by Jennifer Miller, and by the Taft Stettinius & Hollister LLP mergers & acquisitions legal team, led by Elijah Hammans.

About Periculum Capital Company, LLC
Periculum is a leading investment and merchant banking firm serving the corporate finance needs of middle market companies. The firm was founded in 1998 to provide sophisticated financial advisory and transaction services. Periculum is committed to achieving superior outcomes for its clients by delivering customized investment banking services that maximize value while still meeting clients’ individual goals and objectives. The firm’s primary services include M&A, capital markets, and restructuring advisory, as well as specialized merchant banking services.