Firm: RoundTable Healthcare Partners
Fund: RoundTable Healthcare Partners III LP
Target: $500 million
Placement Agent: none
The Lake Forest, Ill.-based firm will likely seek to raise $500 million, which is the same amount it raised in 2005 for
Executives did not employ a placement agent with their previous fund and do not plan to do so with Fund III.
RoundTable Healthcare’s most recent exit should help the shop when it does reach out to limited partners. The firm agreed on Nov. 30 to sell Ascent Healthcare Solutions, a Phoenix-based company that collects, sterilizes and re-sells medical devices to hospitals at a discount, to Stryker Corp. The firm stands to make 8x its invested capital through the sale, which was expected to close by the end of the year, marking RoundTable Healthcare’s strongest exit to date.
The firm acquires companies involved in medical devices and products, medication delivery systems, specialty pharmaceuticals, specialty distribution, and complementary outsourced services; it avoids service-oriented providers and biotechnology companies. The firm typically writes equity checks of $5 million to $50 million for targets with annual revenue ranging from $25 million to $300 million.
RoundTable Healthcare raised its first fund in the 2001-2002 timeframe, closing with $400 million. It also raised a $200 million subordinated debt fund in 2006 to support its LBO activity. All told, the firm manages $1.1 billion.
RoundTable Healthcare was founded in 2001 by Joseph Damico, a former executive vice president at Cardinal Health Inc., the publicly-traded Dublin, Ohio-based health care products supplier; Lester Knight, the former CEO of Allegiance Corp., a Deerfield Ill.-based health care products and services distributor; Jack McGinley, a former executive at Baxter International Inc., the publicly traded Deerfield, Ill.-based health care equipment maker; and Todd Warnock, a former managing director and head of U.S. health care investment banking at Credit Suisse First Boston.