Enhanced Healthcare Partners Raises $300 Million Of Committed Capital

By Amit Chowdhry ● September 30, 2019
  • New York-based private equity firm Enhanced Healthcare Partners announced it closed a fund by raising $300 million of committed capital

Enhanced Healthcare Partners (EHP), a New York-based private equity firm focused on investing in middle-market healthcare businesses, announced recently that it closed Enhanced Healthcare Partners, L.P. by raising $300 million of committed capital with access to $600 million in total equity to invest.

This fund represents the third fund that EHP’s partners Malcolm Kostuchenko, Samarth Chandra, and Matthew Thompson have led together.

“We are thankful for the support from our limited partners,” said Malcolm Kostuchenko, Partner at EHP. “This closing represents an exciting chapter for the EHP team as we continue to drive a thesis-oriented healthcare investment strategy in the lower middle-market with the ability to focus on building value over the long term consistent with our overall approach and strategy.”

And this fund will invest in founder and entrepreneur-led lower middle-market healthcare businesses in North America targeting platforms between $50 and $250 million in enterprise value in the physician services, pharma services, payor services, and healthcare technology sectors.

“We are grateful for the opportunity to continue to build on EHP’s track record,” added Matthew Thompson, a Partner at EHP. “We have the honor of partnering with an extraordinary set of advisors, board members and experts to develop innovative approaches to value creation. This new fund enables us to take our investment strategy to the next level.”

The EHP team will partner with management teams to grow healthcare platforms while leveraging their industry expertise, network, and unique investment approach.

“In sectors from medical transportation to dermatology, pharmacy to technology, EHP has proven to be a strategic partner to entrepreneurs and founders seeking to drive strategic outcomes and emerge as industry leaders,” noted EHP partner Samarth Chandra.

This milestone is representing the next chapter for EHP after the team completed a recapitalization of Enhanced Equity Funds’ eight healthcare assets in 2017.

“I am proud of the EHP team and excited to support them in this next phase. EHP will continue to build on the strategy we started at Enhanced Equity Funds,” explained Andrew M. Paul, a Special Advisor to EHP and founder of Enhanced Equity Funds.

The EHP team has managed approximately $1 billion in equity capital and the venture firm is comprised of professionals with deep healthcare, operations, consulting, and investment management experience. Kirkland and Ellis LLP had served as legal counsel for EHP.