Sterling Check acquires Vault Workforce Screening, terms not disclosed

Sterling Check has acquired Vault Workforce Screening, a U.S. clinic management platform. The acquisition brings a network of 17,000 clinics and a flexible service model to enhance Sterling’s existing drug and health services. This will enable Sterling to deliver additional market leading screening solutions for employers in healthcare, transportation, and other regulated industries where staffing challenges are most acute, decreasing time-to-hire and improving employee retention. As part of Sterling’s strategy to in-source key components of its supply chain, the acquisition of Vault will accelerate and strengthen Sterling’s financial model and revenue growth. Vault’s proprietary service model, including Medical Review Officer services and emergency/after-hours scheduling, will bring increased flexibility and control over delivery of drug and clinical services. This will enhance Sterling’s suite of pre- and post-employment drug and health solutions, benefiting both Sterling and Vault clients. The acquisition is expected to contribute $40 to 50M of annualized revenue to Sterling and be accretive to Sterling’s Adjusted EPS in 2024. Sterling expects to realize significant financial synergies related to vendor consolidation and pricing optimization, enhanced fulfillment capabilities, and operational efficiencies. Vault’s expert management team and employees will transition to Sterling as the integration process moves forward and build upon the company’s proven model of providing deep market expertise and unrivaled client service.