[sheet: Cover & Summary]
Field
CLOSING FUNDS FLOW MEMORANDUM
STRICTLY CONFIDENTIAL — ATTORNEY WORK PRODUCT
| Transaction | Acquisition of 100% of the issued and outstanding capital stock of MedVance Health Systems, Inc. by Ardent Healthcare Holdings Inc. |
| Aggregate Purchase Price | $620,000,000 |
| Prepared By | Calderwood & Harkness LLP |
| C&H Matter No. | 0478231.0001 |
| Responsible Partner | Beatrice Holloway |
| Billing Partner | James Prentice |
| Lead Associate | Megan Chu |
| Working Associate | Derek Okonkwo |
| Tax Specialist | Leonard Cross (C&H — Tax) |
| Date Prepared | April 17, 2025 |
| Last Updated | April 18, 2025 — CLOSING DATE (FINAL) |
— PARTIES —
| Purchaser | Ardent Healthcare Holdings Inc. (DE Corp.; EIN 93-2047861; DE File No. 7201548) |
| Purchaser Registered Address | 1209 Orange Street, Wilmington, DE 19801 (c/o Capitol Statutory Agents Inc.) |
| Purchaser Parent / Equity Sponsor | Ardent Capital Partners III LP (DE LP; EIN 87-3541982) |
| Sponsor Address | 599 Lexington Avenue, 34th Floor, New York, NY 10022 |
| General Partner of Sponsor | Ardent Capital Management III LLC (DE LLC) |
| Sponsor Principals | Graham Whitfield (Managing Partner); Priya Ranganathan (Partner, Healthcare); Thomas Kearney (VP); Audrey Sato (Principal, Portfolio Ops) |
| Target / the Company | MedVance Health Systems, Inc. (DE Corp.; EIN 62-7083149; DE File No. 4938217) |
| Target HQ Address | 4200 West End Avenue, Suite 1100, Nashville, TN 37205 |
| Target Registered Agent (DE) | 1209 Orange Street, Wilmington, DE 19801 |
| Target Registered Agent (TN) | 312 Rosa L. Parks Avenue, Nashville, TN 37243 (c/o Tennessee Registered Agent Services LLC) |
| Target Founded | 2009 |
| Target Key Officers | Daniel Burch (CEO); Angela Moretti (CFO); Dr. Samir Patel (CMO); Karen Tolliver (COO); Dr. Catherine Ryland (Founder & Board Chair) |
| Seller Representative | Marcus Delgado, Partner — Crestline Growth Equity Fund II LP (EIN 04-8291653) |
| Seller Representative Address | 200 Clarendon Street, 42nd Floor, Boston, MA 02116 |
— TARGET EQUITY HOLDERS —
| Crestline Growth Equity Fund II LP | 68.2% |
| Ryland Family Holdings LLC (TN LLC) | 19.5% |
| Management Equityholders (aggregate) | 12.3% |
| Total | 100.0% |
— KEY DATES —
| LOI / Exclusivity Executed | September 15, 2024 |
| Exclusivity Expired (extended informally) | November 15, 2024 |
| HSR Filing Date (Ref: HSR-2024-7231) | December 18, 2024 |
| AHH Formation Date | January 8, 2025 |
| HSR Early Termination Granted | January 22, 2025 |
| SPA Execution Date | February 10, 2025 |
| Debt Commitment Letters Executed | February 10, 2025 |
| Escrow Funded | February 12, 2025 |
| TN Licensure Transfer Approved | March 5, 2025 |
| AL Licensure Transfer Approved | March 18, 2025 |
| GA Licensure Transfer Approved | March 27, 2025 |
| KY Licensure Transfer Approved | April 10, 2025 |
| Scheduled Closing Date (per SPA) | April 15, 2025 |
| Actual Closing Date | April 18, 2025 |
| Post-Closing WC Adjustment Deadline | July 17, 2025 (90 days post-closing) |
| Escrow Release / Survival Expiration | October 18, 2026 (18 months post-closing) |
— ADVISORS & COUNTERPARTIES —
| Buyer's Legal Counsel | Calderwood & Harkness LLP — 1221 Avenue of the Americas, 40th Floor, New York, NY 10020 |
| Seller's Legal Counsel | Whitaker, Poole & Simms LLP (Rebecca Whitaker / Jonathan Garrett) — 333 Commerce Street, Suite 2800, Nashville, TN 37201 |
| Buyer's Investment Bank | Hargrove Bancroft & Co. (Nathan Osei, MD) — 383 Madison Avenue, 22nd Floor, New York, NY 10179 |
| Seller's Investment Bank | Pemberton Marsh Securities LLC (Allison Drake, MD) — 191 Peachtree Street NE, Suite 3200, Atlanta, GA 30303 |
| Senior Debt Agent / Lead Arranger | Ridgeline National Bank, N.A. (Laura Fitzpatrick, MD) — 225 Liberty Street, New York, NY 10281 |
| Co-Lender | Pinnacle Commercial Credit Corp. — 100 Federal Street, Boston, MA 02110 |
| Escrow Agent | Continental Fiduciary Trust Company (Patricia Ng, VP) — 111 Wall Street, New York, NY 10005 |
| R&W Insurance Carrier | Northbridge Specialty Insurance Company (Policy No. NSI-POLI-2025-04418) |
| R&W Insurance Broker | Velthorn Risk Advisors LLC |
| Buyer's Accounting Advisor (QofE) | Blackwell Thornton LLP (Eric Vonn, Partner) — 1900 K Street NW, Suite 600, Washington, DC 20006 |
| Target's Historical Auditor | Prumvane & Reese LLP — 424 Church Street, Nashville, TN 37219 |
| Buyer's External Tax Advisor | Osgood & Vail CPAs LLP — 80 Pine Street, New York, NY 10005 |
| Healthcare Regulatory Counsel | Langford Moss & Crane LLP (Dr. Patricia Langford) — 1717 Pennsylvania Avenue NW, Suite 850, Washington, DC 20006 |
| Antitrust Counsel | Calderwood & Harkness LLP (Nora Castillo, Partner) |
| Target's Existing Lender (being retired) | Granton Savings Bank, N.A. — 500 Church Street, Nashville, TN 37219 |
| D&O Tail Insurer | Sentinel Indemnity Group (6-year tail) |
| Title Company | Commonwealth Abstract & Title Co. — 211 Commerce Street, Suite 100, Nashville, TN 37201 |
| Environmental Consultant | Fieldstone Environmental Associates Inc. — 3355 Lenox Road NE, Suite 700, Atlanta, GA 30326 |
| Target IT Vendor | Vertex Health Technologies Inc. |
| Target Major Payor #1 | BlueLine Health Plan of Tennessee |
| Target Major Payor #2 | SouthPoint Insurance Co. |
— KEY FINANCIAL TERMS —
| Aggregate Purchase Price | $620,000,000 |
| Term Loan B (Ridgeline / Pinnacle) | $340,000,000 — SOFR + 425 bps |
| Revolving Credit Facility (undrawn at closing) | $50,000,000 — SOFR + 375 bps |
| Credit Agreement Reference No. | RNB-HC-2025-0418 |
| Ardent Equity Contribution | $290,000,000 |
| Indemnification Cap (20% of Purchase Price) | $124,000,000 |
| Escrow Amount (8% of Purchase Price) | $49,600,000 |
| Escrow Account No. | CFT-ESC-2025-00327 |
| Escrow Survival Period | 18 months (expires October 18, 2026) |
| R&W Policy Limit (10% of Purchase Price) | $62,000,000 |
| R&W Retention (1% of Purchase Price) | $6,200,000 (split 50/50 — $3,100,000 each) |
| Working Capital Target (trailing 12-mo avg) | $34,500,000 |
| Working Capital Collar | ± $2,000,000 (dollar-for-dollar outside collar) |
| Estimated Closing Working Capital | $35,100,000 (+$600,000 vs. target; within collar — no adjustment) |
| Existing MedVance Debt (to be retired at closing) | $41,300,000 (Granton Savings Bank, N.A. term loan) |
| Seller Transaction Expense Cap | $12,000,000 (deducted from aggregate seller proceeds) |
| Management Equity Rollover (non-cash) | ~$18,600,000 (~24.4% rollover rate on 12.3% management stake) |
| Pending Litigation Exposure (fully reserved by Target) | $4,200,000 (2 medical malpractice suits) |
| MedVance 2024 Revenue (unaudited) | $387,000,000 |