Private equity firm Latticework Capital Management said it raised $345 million for its second healthcare fund and will use the capital to invest in smaller, founder-led companies.
The fund raise exceeded its initial goal of $275 million. The company attributed the success of this fund to the healthcare investments made following its debut investment fund, where it raised more than $120 million in June 2019.
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Dallas-based Latticework focuses primarily on investing in healthcare-related businesses with annual earnings before interest, taxes, depreciation and amortization of less than $10 million. Since 2015, it has completed 11 platform transactions and 120 add-on transactions to bolster its healthcare portfolio, the company said in a news release.
"We continue to target opportunities in [physician practice management company] consolidations, pharmaceutical services and other outsourced hospital or healthcare services," said Kyle Bradford, managing partner.
Investors in the second fund included endowments and family offices.
Private equity firms continue to stake their claim in the healthcare industry and their presence has been controversial.
