KKR Closes $4.0 Billion Health Care Strategic Growth Fund II

KKR Closes $4.0 Billion Health Care Strategic Growth Fund II

The leading global investment firm, KKR, announced that it had closed its $4.0 billion fund of KKR Health Care Strategic Growth Fund II. The fund, or HCSG II, is dedicated to health care growth equity investment opportunities, mostly in North America and Europe. KKR is expected to make more healthcare acquisitions in the future and will be investing approximately $500 million of capital in the fund, alongside investors. HCSG II will focus on the biopharmaceutical, medical device, health care services, life science tools, diagnostics and health care information technology sub-sectors. Within the past year, KKR executed several new investments as part of its Health Care Strategic Growth... Read More »
Bain Capital On How Private Equity and Venture Capital Are Disrupting Hospitals and Health Systems

Bain Capital On How Private Equity and Venture Capital Are Disrupting Hospitals and Health Systems

Aaron Newman from Cain Brothers released a short commentary about how private equity and venture capital are disrupting hospitals and health systems. According to Mr. Newman, there are four ways private equity and venture capital are fundamentally disrupting their business models: growth in Medicare Advantage, physician aggregation, delivery of care at lowest cost setting and disruption from non-traditional care providers. Going forward, hospitals and health systems must understand these disrupting forces and proactively assess strategic alternatives to fortify their market position. In September, we saw Aurelius Healthcare Sdn Bhd, backed by private equity firm Navis Capital... Read More »
PE-Backed Acorn Health Sold to Ontario Teachers’ Pension Plan

PE-Backed Acorn Health Sold to Ontario Teachers’ Pension Plan

After launching Acorn Health in October 2018, MBF Healthcare Partners II, L.P. is selling the behavioral health platform in a new deal. The buyer is The Ontario Teachers’ Pension Plan Board (Ontario Teachers), the administrator of Canada’s largest single-profession pension plan. It pays pensions and invests plan assets on behalf of 331,000 retired and working teachers. No terms were disclosed.  Acorn Health is an accredited national provider of high-quality applied behavior analysis (ABA) therapy to children with autism spectrum disorder. The company employs approximately 1,200 individuals, serves more than 1,300 families, and operates a network of 51 clinics across seven states, including... Read More »
Women’s Health USA Partners With Unified Women’s Healthcare

Women’s Health USA Partners With Unified Women’s Healthcare

Private equity-backed Unified Women’s Healthcare has announced a new partnership with Women’s Health USA (WHUSA), a multi-state organization offering practice management and emerging value-based care services to more than 600 OB/GYN and women’s health providers. Sverica Capital Management, the current majority shareholder in WHUSA, will be selling its majority stake in this deal and will reinvest a portion of its proceeds into the combined company.  No terms were disclosed, but the deal will create the largest physician practice management company dedicated solely to women in the United States. Together, WHUSA and Unified Women’s will provide comprehensive business services to more than... Read More »
Equity Consortium Takes Inovalon Private

Equity Consortium Takes Inovalon Private

A group of private equity buyers has announced an agreement to acquire Inovalon, taking the publicly traded digital health company private. The group is led by Nordic Capital and joined by Insight Partners as lead co-investor, with 22C Capital, Inovalon founder/Chief Executive Officer Keith Dunleavy and certain Class B stockholders of Inovalon joining in on the investment.  The deal is valued at $7.3 billion in an all-cash transaction. Inovalon stockholders will receive $41.00 per share in cash for each share of Class A Common Stock or Class B Common Stock. The company provides cloud-based platforms empowering data-driven healthcare. Through the Inovalon ONE Platform, it brings a... Read More »
Autism Care Partners Strikes Another Deal

Autism Care Partners Strikes Another Deal

It’s been a busy summer for Autism Care Partners (APC). Within a month, the PE-backed behavioral health care provider has announced two deals, expanding its presence throughout the New England market. In July, ACP acquired Autism Bridges, a founder-led, New Hampshire-based multi-state autism treatment organization, a first step for the company outside the New York market.  Then, last week, ACP added Puddingstone Place, which provides world-renowned programming to enhance communication, support behavioral changes, and improve the overall quality of life for individuals with autism and other developmental disabilities. With this acquisition, ACP becomes one of the largest providers of... Read More »