New-York-based Avista Capital Partners has announced a deal to take a majority stake in Probo Medical from Varsity Healthcare Partners. No financial details or deal terms were disclosed, but sources advised Axios the price could be in the $450 million range.

Illinois-based Probo, founded in 2014 as an ultrasound equipment refurbisher, has grown during its time with Varsity. It now provides ultrasound probe sales and repair services, and had over $30 million in EBITDA in 2021 — up from $8 million in 2018 — according to Axios.

“Probo is well-positioned to accelerate growth as favorable sector trends continue, particularly growing demand for newer, high-quality refurbished equipment,” Avista Partner Sriram Venkataraman said in a statement.

One of the major drivers of such demand growth is the budget pressures on healthcare facilities during the pandemic, necessitating cost-cutting wherever possible, which tends to favor the refurbished medical equipment market.

Vertically integrated Probo now has 14 facilities in the U.S. and Europe, from which it serves customer needs including: equipment and part sales, rentals, repair, and equipment installation and de-installation.

The company prospered during its three years with Varsity Healthcare Partners. The relationship will continue, too, said David Alpern, founding partner at Varsity Healthcare Partners, who stated that his firm looks forward “to continuing our partnership with Probo through a commitment from our third fund. We are confident that Probo will continue to thrive with Avista as their partner, and we look forward to supporting them on this next chapter of their growth story.”

Avista has nearly $8 billion invested in over 40 healthcare businesses worldwide. Varsity is a lower middle-market private equity investor that focuses on partnering with founders, entrepreneurs and management teams.

Probo will benefit from Avista's financial — and strategic — support, noted Probo CEO Michael Asmer, stressing that there is “a robust pipeline of acquisition opportunities in the U.S. and Europe,” to further aid “our impressive growth trajectory.”

An indication of its strategy surfaced earlier this month when Probo grew its North American footprint with its REMETRONIX buy. REMETRONIX services CT, MR, PET/CT, X-ray and proton therapy equipment, and has multiple offices in the U.S. and Canada, and one in the U.K.

This was just one of a number of recent acquisitions by Probo.

Last year, it acquired ultrasound equipment service provider, Tenvision, which gave that firm's customers access to the world’s largest inventory of new and used diagnostic imaging equipment.

Also in 2021, the company acquired Florida-based SonoDepot, a third-party ultrasound service, maintenance, and repair organization.

Earlier in the year, Probo bought U.K.-based Mount International United Services, which offers third-party services, repairs and maintenance for medical imaging equipment in Great Britain, including ultrasound, CT, MR and X-ray.

In 2019 it acquired Trisonics, which specialized in the sale of ultrasound devices, including the resale of 2D, 3D/4D and transesophageal ultrasound probes.

In 2018, Probo merged with MedCorp. That deal made the combined company the industry's largest ultrasound equipment reseller at the time.