The New York-based private-equity firm that is run in part by former Bass Berry & Sims attorney and White House Office of Health Reform director Nancy-Ann DeParle has closed a $500 million fund that will focus on health care efficiency and innovation.
Consonance Capital Partners last summer brought on DeParle, reuniting her with a number of former colleagues at JPMorgan Partners and related firms. The fund has now closed on a raise that topped their initial target by $150 million.
“We have successfully attracted a highly diversified collection of pension funds, endowments, insurance companies, family offices and other high net worth platforms and individuals principally from the United States and Europe, who recognize our ability to successfully source investments, assess opportunities, and invest in the lower middle market of healthcare,” said Benjamin Edmands, co-founder and managing partner of CCP, which is targeting the lower middle market of the U.S. health care sector.
The fund already has completed two investments. In March, CCP recapitalized Enclara Health, a national hospice-focused pharmacy services provider. Two months later, it acquired from the Pennsylvania Medical Society KEPRO, a medical management and cost containment solutions company focused on government and private-sector clients.
“This is a period of dynamic change in the health care industry with significant opportunities to invest in companies that can improve the quality of service, transform the care experience and create a more efficient and effective health care sector,” DeParle said. “We believe that our fund is ideally suited and sized to help lead this change through our investments, insights, expertise and support. We will continue our strategy of sourcing partnerships and investments with companies that are capitalizing on new health care niches.”
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