Frazier Healthcare Partners, a private equity firm, has raised $1.4 billion for its eleventh growth buyout fund, which will be used to make new investments in the healthcare technology sector. According to the Seattle business, Frazier Healthcare Growth Buyout Fund X LP was closed at its hard cap and was oversubscribed. The firm intends to focus on the middle market with its latest healthcare private equity investment.
The fund’s predecessor, which ended with $780 million in 2018, pales in comparison. According to the investment firm, the offering was supported by new and current limited partners, foundations and endowments, family offices, corporate pensions, including public pension funds, financial institutions, and sovereign wealth funds.
The majority of its prior fund, FHGB IX, expanded its commitment to FHGB X. Frazier Healthcare Partners has set a goal of acquiring controlling stakes in healthcare firms with EBITDA of $10 million to $75 million. It may invest $50 million to $300 million in equity. The business stated that investments might include corporate carve-outs of private and publicly traded companies, recapitalizations, and buy-and-build methods.
Frazier Healthcare Partners purchased a 50% ownership in CSafe Global, a Dayton, Ohio-based provider of cold chain and air cargo solutions to the life science and pharmaceutical industries, in December 2020. PCI, a provider of supply chain solutions, was recently sold for $3 billion to Kohlberg and Mubadala. In contrast, Northfield, a provider of operating room instrument, scope, and power system maintenance services, was sold for $475 million to Agiliti.