Golub Capital said Friday that it helped provide a $400 million credit facility to support Frazier Healthcare and New Enterprise Associates‘ dividend recap of DSI Renal. Headquartered in Nashville, DSI is a provider of dialysis services in the U.S.
CHICAGO, April 25, 2014 /PRNewswire/ — Golub Capital announced today that it acted as Co-Lead Arranger for a $400 million first lien credit facility to support the dividend recap of Dialysis Newco, Inc. d/b/a DSI Renal (“DSI”) by Frazier Healthcare (“Frazier”) and New Enterprise Associates (“NEA”). Golub Capital has been a debt provider to DSI since 2012.
DSI is a leading provider of dialysis services in the United States to patients suffering from chronic kidney failure. Together with their physician partners, DSI owns and operates over 90 dialysis clinics in 22 states.
“Consistent with our past experiences, the Healthcare team from Golub Capital was solutions oriented and flexible, ultimately providing significant momentum to our financing needs. Golub Capital’s transparency and efficiency allowed us to maintain our focus on growing the business,” said Ben Magnano, a Partner at Frazier Healthcare.
Mohamad Makhzoumi, a Partner at NEA and head of their healthcare services practice, added, “This is our third transaction with Golub Capital’s Healthcare team in the past three years and it continues to be a wonderful relationship. I have always found their team to uniquely understand how best to support our high growth portfolio companies by tailoring their financings accordingly. We look forward to working with them again.”
“The dialysis space is one which we’ve invested in on numerous occasions given the growth and stable outlook in the sector. DSI’s management team, led by Craig Goguen, along with the backing and strategic oversight from both Frazier and NEA, have created one of the leading players in the space and are well positioned for continued success,” said Stefano Robertson, a Managing Director and head of the Healthcare team at Golub Capital. “We are pleased to have been able to support them in a meaningful way with this transaction and expect to continue to do so in the future.”
About Golub Capital
With over $10 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 MiniGOLD, GOLD, and MegaGOLD facilities), senior, second lien, and subordinated debt, preferred stock and co-investment equity. The firm underwrites and syndicates senior credit facilities up to $300 million. Golub Capital’s hold sizes range up to $200 million per transaction.
Golub Capital has been a top 3 Traditional Middle Market Bookrunner each year from 2008 through 2013 for senior secured loans of up to $100 million for leveraged buyouts (according to Thomson Reuters LPC and internal data; based on number of deals). In 2013, Golub Capital was awarded Finance Monthly’s Global Awards 2013 “Credit Asset Manager of the Year,” and DealMakers M&A Awards 2013 “Middle Market Lender of the Year.” In 2012, Golub Capital was awarded ACG New York Champion’s Award for “Senior Lender Firm of the Year” and the M&A Advisor award for “Lender Firm of the Year.” Golub Capital is a national firm with principal offices in Chicago and New York. For more information, visit www.golubcapital.com.
About Frazier Healthcare
Frazier Healthcare, founded in 1991 to invest exclusively in healthcare, is a leading provider of growth equity and venture capital to emerging health care companies. Since raising its initial fund in 1991, Frazier Healthcare has raised seven private institutionally-backed investment funds with cumulative commitments across all seven funds of over $2 billion and investments in more than 150 health care companies. For more information, visit www.frazierhealthcare.com.
About New Enterprise Associates
New Enterprise Associates, Inc. (NEA) is a leading venture capital firm focused on helping entrepreneurs build transformational businesses across multiple stages, sectors and geographies. With approximately $13 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 175 portfolio company IPOs and more than 300 acquisitions. In the U.S., NEA has offices in Menlo Park, CA; Boston, MA; New York, NY; Chicago, IL; and the Washington, D.C. metropolitan area. 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.