Pandion Announces Strategic Growth Investment from Bregal Sagemount

Investment includes multi hundred-million-dollar commitment for further M&A and strategic growth to drive member advocacy 

Pandion Optimization Alliance (“Pandion” or the “Company”), a leading group purchasing organization (“GPO”), today announced a strategic growth investment from Bregal Sagemount (“Sagemount”), a leading growth-focused private equity firm. The investment will support Pandion’s next phase of growth as the Company continues to strengthen member advocacy, expand its purchasing scale, and enhance the services it provides, primarily across the non-acute healthcare market.

Founded in 1925, Pandion has built a longstanding reputation for helping organizations simplify purchasing, access competitive supplier programs, and realize greater value from their procurement spend. Today, Pandion serves over 16,000 members across 60,000 sites nationwide with member retention rates above 99%. Members have access to a curated and evolving portfolio of supplier contracts across foodservice, healthcare, pharmacy, and business services.

Pandion has completed four acquisitions in the last five years and grown committed spend at a 31.6% CAGR, reflecting the Company’s continued momentum and ability to support a growing member base. With Sagemount’s investment and sector expertise, Pandion intends to build on this foundation by expanding its purchasing scale, broadening supplier relationships, and pursuing strategic acquisition opportunities that extend the Company’s reach and align with its member-first approach. Sagemount’s investment includes a multi-hundred-million-dollar commitment for further M&A and growth initiatives.

The deal represents a continuation of Sagemount’s expertise in group purchasing and procurement network investing, marking the firm’s fourth platform investment in the sector to date.  Sagemount’s prior investments in the space include Buyers Edge Platform (restaurant and foodservice), Corcentric (fleet trucking), and Procure Analytics (industrial maintenance, repair & operations). Sagemount partially exited its investment in Procure Analytics in December 2021, fully exited its investment in Buyers Edge Platform in April 2024, and retains an active investment in Corcentric.

In connection with the partnership, Phil Yates, Partner at Sagemount, Curt Witte, Partner and Head of Growth Factors at Sagemount, and Connor Pams, Vice President at Sagemount, will join Pandion’s Board of Directors. Messrs. Yates and Pams have led all Sagemount’s prior group purchasing investments. Mr. Witte brings extensive healthcare and large GPO experience, including leadership roles at Cardinal Health and experience building NetRX, an alternate care GPO later sold to Managed Health Care Associates.

Pandion was advised by Croft & Bender and Goodwin Procter LLP. Sagemount was advised by Baird and Goodwin Procter LLP. Terms of the transaction were not disclosed.

About Pandion Optimization Alliance:

Pandion Optimization Alliance is a leading group purchasing organization that leverages billions in buying power to provide members with access to cost savings and spend management solutions. Throughout its 101-year history, Pandion has maintained a steadfast commitment to bringing organizations together and harnessing their collective power for the benefit of all. By partnering with the nation's best suppliers and maintaining a diverse contract portfolio, Pandion helps businesses optimize their direct and indirect procurement spend categories. With a growing national footprint fueled by strategic acquisitions and an expanding portfolio of contracts and services, Pandion continues to strengthen its ability to deliver greater value and purchasing power to members across the country.  

For more information, visit www.pandionalliance.com.

About Bregal Sagemount:

Bregal Sagemount is a leading growth-focused private capital firm with $11 billion of cumulative capital raised. Currently investing out of a $3.7bn Fund V, the firm provides flexible capital and strategic assistance to market-leading companies in high-growth sectors across a wide variety of transaction situations. Bregal Sagemount has invested in over 90 companies in a variety of sectors, including software, data & information services, financial technology & services, digital infrastructure, healthcare IT, and business & consumer services. 

The firm has offices in New York and Palo Alto. For more information, visit www.sagemount.com or follow us on LinkedIn.

Contact:

Pandion
Morgan Reddy
Director of Marketing
mreddy@pandionalliance.com

Bregal Sagemount
Siqi Wu
Marketing & Communications Manager
Siqi.wu@bregal.com