Penfund invests $9 mln in support of PSA Healthcare add-on deal

Canadian private equity firm Penfund has provided an incremental US$9 million second lien term facility to Pediatric Services Holding Corp (PSA Healthcare), a provider of home nursing services to medically fragile children in the United States. The proceeds of the investment were used to support PSA’s buy of Professional Pediatric Home Care. To date, Atlanta, Georgia-based PSA has secured US$53.5 million in debt and equity financing from Penfund, including a second lien term facility announced in February. The company is a portfolio investment of U.S. private equity firm J.H. Whitney Capital Partners, which acquired it in early 2015.


Penfund Announces Third Investment in PSA Healthcare

TORONTO, ONTARIO–(Marketwired – Sept. 28, 2016) – Penfund, an independent provider of junior capital to middle market companies located in the United States and Canada, announced today the completion of an incremental U.S. $9.0 million 2nd lien term facility in Pediatric Services Holding Corporation operating as PSA Healthcare (“PSA”). PSA is a portfolio company of J.H. Whitney Capital Partners LLC’s private equity funds (“J.H. Whitney”).

Headquartered in Atlanta, Georgia, PSA is a national leader in providing home care for children and adults with medical complexities.

The proceeds of the incremental financing were used in support of PSA’s acquisition of Professional Pediatric Home Care, a provider of pediatric skilled home nursing and therapy services in Colorado and Texas. With this acquisition, PSA now provides care through over 70 locations across 16 states, employs over 8,000 clinicians and caregivers and serves 7,000 patients and families each week. Following completion of this transaction, Penfund’s investment in PSA Healthcare totals U.S. $53.5 million, comprised of a second lien term facility and an equity co-investment.

Nicole Fich, a Vice President at Penfund, stated, “We are delighted to provide additional support to PSA and J.H. Whitney as PSA continues to execute its growth strategy. We believe the acquisition of Professional Pediatric Home Care will bolster PSA’s presence in Colorado and Texas and present opportunities for operational synergies.”

About PSA Healthcare
Based in Atlanta, Ga., PSA Healthcare has been a recognized leader in pediatric and adult home care for more than 30 years. PSA has more than 70 locations providing care in 16 states, including Florida, Georgia, Pennsylvania, Colorado, Texas and Louisiana. A privately owned company, PSA is dedicated to providing Trusted Care with compassion, quality, and clinical excellence.

About J.H. Whitney
J.H. Whitney was established in 1946 by the industrialist and philanthropist, John Hay “Jock” Whitney, J.H. Whitney was one of the first U.S. private equity firms and is often credited with pioneering the development of the private equity industry. Today, J.H. Whitney remains privately owned by its investing professionals and focuses on providing private equity capital to small and middle market companies with strong growth prospects in a number of industries including consumer, healthcare, specialty manufacturing and business services.

About Penfund
Penfund is a leading provider of junior capital to middle market companies throughout North America. The firm is owned by its management team and is currently investing its most recently established fund, Penfund Capital Fund V. Penfund manages funds sourced from pension funds, insurance companies, banks, family offices and high-net-worth individuals and has invested more than $3 billion in over 225 companies since its establishment in 1979. Assets and capital under management currently exceed $1.2 billion.

Nicole Fich
Vice President
(416) 645-3791

Photo courtesy of PSA Healthcare