Golub Capital Provides Subordinated Notes to Support DSI Renal's Acquisition of 54 Fresenius Medical Care Clinics
CHICAGO, April 2, 2012 /PRNewswire/ -- Golub Capital announced today that it provided $27.5 million in subordinated notes and co-investment equity in connection with the acquisition of 54 Fresenius Medical Care AG & Co. KGaA ("FMC") clinics by DSI Renal Inc. ("DSI Renal"). DSI Renal is a portfolio company of Frazier Healthcare and New Enterprise Associates ("NEA").
Based in Nashville, TN, DSI Renal is a leading provider of dialysis services in the United States to patients suffering from chronic kidney failure. Persons with renal (kidney) disease who are in need of dialysis treatments will find state-of-the-art treatment and personalized care at DSI Renal's facilities. With this acquisition, DSI Renal will operate 85 clinics across 23 states and provide care to more than 6,500 dialysis patients.
"The Golub Capital Healthcare Finance team has a very positive view on the dialysis space, having invested in the sector multiple times. We started talking to Frazier Healthcare about their own interest in the sector mid-last year, so this investment represents one that developed very nicely over time," stated Stefano Robertson, a Managing Director and Head of Healthcare Finance at Golub Capital. "Throughout the process, both Frazier Healthcare and NEA exhibited their deep domain knowledge and experience dealing with multi-faceted transactional issues. We look forward to working closely with both sponsors throughout the course of the investment, and to helping DSI Renal execute their business plan."
Brian Morfitt, a Partner at Frazier Healthcare commented, "Working with Golub Capital's Healthcare Finance team was a real pleasure. They proved to be a value-added partner with whom we could discuss preliminary ideas, as we ultimately closed the deal using structure and economic terms similar to what they recommended early in the process. We look forward to working with them again."
About Golub Capital
With over $5 billion of capital under management, Golub Capital is a leading provider of financing solutions for the middle market, including one-loan financings (through the firm's proprietary GOLD facility), senior, second lien, and subordinated debt, preferred stock and co-investment equity. The firm underwrites and syndicates senior credit facilities up to $200 million. Golub Capital's hold sizes range up to $100 million per transaction.
Golub Capital is ranked a #1 Traditional Middle Market Bookrunner for 2011 by Thomson Reuters LPC for senior secured loans of up to $100 million for leveraged buyouts (based on number of deals completed). Golub Capital was named "Middle Market Lender of the Year" by Buyouts magazine in 2009 and 2010. The firm was also honored as "Debt Financing Agent of the Year" by M&A Advisor in 2010. Golub Capital is a national firm with principal offices in Chicago and New York. For more information, visit the firm's website at golubcapital.com.
About Frazier Healthcare
Founded in 1991, Frazier Healthcare is one of the leading providers of growth equity and venture capital to high growth and emerging healthcare service, biopharma and medical device companies. With over $1.8 billion under management, Frazier invests in over 100 companies across the entire developmental spectrum. From seed stage venture investments to leveraged recapitalizations of cash generating companies, Frazier Healthcare has established itself among entrepreneurs and seasoned executives as a preferred partner to help create and grow successful healthcare companies. For additional information, visit www.frazierhealthcare.com.
NEA is a leading venture capital firm focused on helping entrepreneurs build transformational businesses across multiple stages, sectors and geographies. With approximately $11 billion in committed capital, NEA invests in information technology, healthcare and energy technology companies at all stages in a company's lifecycle, from seed stage through IPO. The firm's long track record of successful investing includes more than 170 portfolio company IPOs and more than 280 acquisitions. In the U.S., NEA has offices in the Washington, D.C. metropolitan area; Menlo Park, California; and New York City. In addition, New Enterprise Associates (India) Pvt. Ltd. has offices in Bangalore and Mumbai, India and New Enterprise Associates (Beijing), Ltd. has offices in Beijing and Shanghai, China. For additional information, visit www.nea.com.
SOURCE Golub Capital