Business First of Louisville, June 22, 2010, by Ed Green Staff Writer
Chrysalis Ventures and several co-investors have made follow-on investments in Chronicity Inc., a Texas company that provides treatment for chronic conditions.
Chronicity has sold $3 million in equity securities, according to a filing with the U.S. Securities and Exchange Commission. Chrysalis and other original investors in the company were among the buyers, according to Koleman Karleski, managing director of Chrysalis and a member of Chronicity’s board of directors.
The securities sale closed June 4 but was reported this week, the SEC filing said. The proceeds will be use for working capital.
Chronicity offers specialized health care services for treating conditions such as fibromyalgia, chronic fatigue, ADD/ADHD and learning disabilities.
Karleski said this was the first significant investment made in Chronicity since it was formed in 2006. At that time, Chrysalis led a $12.5 million investment round.
The Addison, Texas-based company consists of 14 operating centers in major markets, such as Philadelphia, Seattle, Las Vegas, Denver, Dallas and Atlanta. It has worked with about 20,000 patients, Karleski said.
He said Chronicity is one of the more “mature” companies in the Chrysalis portfolio and that officials hope this investment will help expand the geographic reach and number of services offered by the company.
He said Chronicity works on a long-term basis to design therapeutic regimens for patients with chronic conditions. It does not accept insurance for services.
“It’s a very exciting company,” Karleski said. “It is providing health care services in a very different way than we are accustomed to.”
Chrysalis Ventures is a private-equity firm with about $400 million in assets under management. The firm invests in companies in the health care and technology sectors. It has offices in Cleveland; Pittsburgh; Ann Arbor, Mich.; and Houston.
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