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Clearlake to buy majority stake in ModMed that values it at $5.3bn

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Clearlake to buy majority stake in ModMed that values it at .3bn

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Private equity group Clearlake Capital is close to clinching a deal to buy a majority stake in healthcare software company Modernizing Medicine in a buyout that values the group at $5.3bn including debt, according to people familiar with the matter.

Clearlake, which has more than $90bn of assets under management, beat out rival bids from several other private equity groups after its owner Warburg Pincus put ModMed up for sale earlier this year, two people said.

ModMed operates electronic health records systems used by more than 160,000 speciality physicians and surgeons across the US.

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As part of the deal, the two co-founders, who established ModMed in 2010, will maintain a minority shareholding. If the deal gets across the line, it will mark the most valuable leveraged buyout in the healthcare sector so far this year, in a bullish sign for dealmakers hoping for an uptick in sponsor-backed deal activity.

The deal was likely to be announced in the coming days, but it was possible that the timeline may slip, the people said. Warburg Pincus bought a majority stake in ModMed in 2017, giving the business an enterprise value of about $500mn, including debt. ModMed also counts private equity firm Summit Partners as a minority shareholder.

Warburg Pincus and ModMed declined to comment while Clearlake and Summit Partners did not immediately respond to messages seeking comment.

ModMed employs doctors to help design cloud-based patient records software tailored to different specialties, such as dermatology, orthopaedics and surgery, helping to smooth patient management and billing.

The company competes with other private-equity backed healthcare software companies, such as Athenahealth and NexTech Systems, which are also aimed at simplifying the record-keeping process for healthcare providers. Based in Boca Raton, Florida, ModMed was founded by software entrepreneur Daniel Cane and dermatologist Michael Sherling.

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The stake sale of ModMed comes as private equity groups gear up for an uptick in exits and sponsor-to-sponsor sales, as interest rates fall. An analysis by accounting firm PwC found that between 4,000 and 6,500 private equity exits were delayed in the two years leading up to the end of 2024 because of a surge in interest rates.

Private equity groups have invested heavily in the healthcare IT sector in recent years as they see a ready customer base of insurers looking to make efficiency savings and healthcare providers grappling with financial pressures. Blackstone is also working on a sale of healthcare software provider HealthEdge, the Financial Times previously reported.

Clearlake, whose recent investments include stakes in English Premier League club Chelsea FC and a private credit unit from French asset manager Natixis, focuses on investments in the technology, industrials and consumer sectors.

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Trump fires last members of election commission, inciting fears of midterm ‘chaos’

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Trump fires last members of election commission, inciting fears of midterm ‘chaos’

Donald Trump has terminated the remaining members of the independent, federal commission that assists election administration officials nationwide just a few months before the midterm elections, multiple outlets reported Thursday.

The remaining three commissioners of the four-member bipartisan commission ⁠were forced out on Thursday in different ways. The one Republican appointee resigned and the other ⁠two, Democratic appointees were notified of their terminations via email from ​the White House presidential personnel office.

“On ‌behalf of President ‌Donald J Trump, I am writing to inform you that your position ‌as Commissioner of the Election Assistance Commission is terminated, effective immediately. Thank you for your service,” the email, seen by Reuters, said.

The White House did not immediately respond to a request for comment.

The Election Assistance Commission serves as a “national clearinghouse of information on election ‌administration”, accredits testing laboratories and certifies voting systems, and maintains the national mail-voter registration form developed by the National ​Voter Registration Act of 1993, according to the commission’s website. The terminations follow Trump and top administration officials’ advocacy to change vote-by-mail requirements and investigations into the 2020 election outcome, which Trump lost to Democrat Joe Biden.

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“It is ⁠irresponsible and dangerous that this Administration remains dead set on ​causing chaos for ​our election officials across this ​country,” Arizona secretary of state Adrian Fontes said in a ​Thursday statement. “This ‌move undermines the integrity ​of nonpartisan ​election administration.”

The 2002 law that established the commission, the Help America Vote Act, states the president can appoint replacements to the commission.

It is unclear how Trump will move ahead with the commission.

Reuters contributed reporting

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Former Olympian pleads not guilty in reflecting pool vandalism charges

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Former Olympian pleads not guilty in reflecting pool vandalism charges

Former U.S. Olympian David Hearn (left) walks with his attorney Norman Eisen to speak to reporters and protesters gathered after his arraignment at the Superior Court of the District of Columbia in Washington, D.C. on Thursday.

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Former U.S. Olympic canoeist David Hearn pleaded not guilty to damaging the Lincoln Memorial Reflecting Pool in D.C. Superior Court Thursday morning.

Federal prosecutors charged Hearn with a single count of destruction of property causing more than $1,000 in damage to the pool.

Hearn has previously claimed, which his attorneys repeated during a short press conference outside the court, that he simply touched the water in the pool out of curiosity.

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The Trump administration had just completed a $14 million renovation of the pool.

But shortly after the work finished, peeling paint and algae gathered in the water. The remodel has been largely criticized as a massive failure and waste of taxpayer dollars.

Superior Court Judge Carmen McLean released Hearn on his own recognizance. His next hearing is scheduled for Aug. 5.

Norm Eisen, one of Hearn’s attorneys, spoke to reporters outside of court following the hearing. He said the administration is using Hearn as a “scapegoat … for their own failures.”

“It is not a crime to touch the reflecting pool, to touch water in the United States of America,” he said.

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Prosecutors say there is a host of evidence against Hearn.

This is a developing story.

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Three more people charged with damaging Reflecting Pool after Trump’s multimillion-dollar restoration | CNN Politics

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Three more people charged with damaging Reflecting Pool after Trump’s multimillion-dollar restoration | CNN Politics

Three more people have been criminally charged with destruction of property at the Lincoln Memorial Reflecting Pool.

Officers say they detained Cameron Thiers, Sophie Dennison-Gibby and Justin Carreno one Saturday afternoon in June and described in court documents witnessing them peeling and removing pieces of blue paint from the Reflecting Pool.

One officer “witnessed Carreno reach down into the reflecting pool and pull up a piece of the blue paint,” according to the court documents.

The officer who detained Dennison-Gibby “found 1 additional piece of the reflecting pool liner” in her purse, the documents said.

All three incidents were recorded on the officers’ body worn cameras, they said in the court documents.

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Several “partnering law enforcement agencies assigned to the Reflecting Pool” working with US Park Police were involved in detaining the two men and one woman — including officers from Texas, Oklahoma, Montana and California.

One of the officers said in court documents that Thiers “admitted to removing a piece of blue sealant from the Reflecting Pool and still had it in his hand when I made contact with him.”

The three defendants were arraigned in court Wednesday and pleaded not guilty to the misdemeanor charges of destruction of property with a value less than $1,000. The judge ordered them to stay away from the Reflecting Pool.

Lawyers for Thiers and Dennison-Gibby declined to comment. CNN has reached out to Carreno’s attorney.

If found guilty of destruction of property, the defendants could be fined up to $1,000 and face a maximum of 180 days behind bars.

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The New York Times first reported that three additional people had been charged with damaging the Reflecting Pool.

President Donald Trump has repeatedly claimed that vandals caused major damage to the pool by gashing the lining after his administration spent more than $14 million on renovations, though he has not provided evidence to support that claim. The officers who charged Carreno, Thiers and Dennison-Gibby did not accuse them of gashing the lining.

Former Olympic canoeist David Hearn was indicted by a grand jury in Washington, DC, last week for allegedly damaging the Reflecting Pool. Hearn — unlike Carreno, Thiers and Dennison-Gibby – was charged with destruction of property with a value of more than $1,000 which carries a maximum penalty of 10 years in prison, if convicted. He is set to be arraigned in court Thursday.

Crews began draining the Reflecting Pool over the weekend to make repairs, according to Interior Secretary Doug Burgum, for the second time in three months.

The move comes after weeks of problems – algae blooms, green-hued water, a chipping bottom and the administration’s allegations of vandalism – that have plagued the iconic landmark, making its woes the subject of national interest.

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