April 09, 2024

Lucent Health Announces Next Phase of Growth with New Capital Partner, Gauge Capital

Southlake, TX – Gauge Capital (“Gauge”), announced that it has partnered with the management team of Lucent Health (www.lucenthealth.com) (“Lucent” or the “Company”) to provide growth capital and recapitalize the Company.  Founded in 2014 and headquartered in Nashville, TN, Lucent is a leading third-party administrator and cost containment solution provider to self-insured employers across the U.S. The Company has established itself as a partner of choice through its ability to help employers reduce healthcare costs while simultaneously improving the member experience and health outcomes. Gauge acquired Lucent from a consortium of investors led by NaviMed Capital of Washington, D.C.

“We founded Lucent with a customer-focused mission of relentlessly pursuing lower healthcare costs for our customers and an improved experience for their employees. We’re proud of the success we’ve had achieving this mission and eagerly anticipate leveraging the resources and support offered by Gauge to accelerate our growth,” said CEO Brett Rodewald. “The Gauge team understands Lucent's vision for the future and embraces our commitment to delighting our customers by providing innovative, data-driven solutions that address both the costs and complexities of the healthcare system.”

David Friedman, Partner at Gauge Capital added, “Brett, Alex and the entire Lucent team have done an impressive job of executing on the vision they created when they founded Lucent 10 years ago.  We have been highly impressed with the comprehensive cost containment solutions that Lucent has built and believe Narus Health, Lucent’s care management platform, will continue to fuel growth and differentiate Lucent from its competitors.  We are thrilled to partner with the entire management team to grow and build the business, and we believe there are several exciting organic growth and M&A opportunities to pursue that will further enhance Lucent’s ability to reduce costs while enhancing the member experience for its customers.”

As part of the partnership, David Friedman, Stan Dennis, and Alex Asbill from Gauge Capital have joined the Company’s Board of Directors.  McDermott Will & Emery served as legal advisor to Gauge and Harris Williams served as buy side advisor to Gauge. Cain Brothers served as financial advisor to Lucent Health.