New State Capital Partners said Oct. 6 that its first institutional investment fund has closed with $131 million in committed capital. New State Capital Partners Fund LP will target investments in the healthcare services, business services, and industrials sectors. Steve Larned has also joined New State as a partner. Larned was previously a Senior Operating Executive at Welsh, Carson, Anderson & Stowe.
NEW YORK, NEW YORK – October 6, 2016 – New State Capital Partners today announced that the firm has closed its first institutional investment fund, New State Capital Partners Fund, L.P. and associated parallel commitments, with $131 million in committed capital. Investors include pension funds, foundations, family offices and funds.
New State, which has in excess of $370 million of assets under management, seeks to invest between $10 million to $45 million of equity per deal with an average of $30 million. The firm targets investments in the healthcare services, business services, and industrials sectors.
“We are humbled by the strong response to our latest institutional investment fund, and believe that our investments underscore New State’s strength in partnering with growing business while fostering entrepreneurial spirit at all levels,” said David Blechman, Founder and Partner of New State. “We look forward to identifying new opportunities that can benefit from our nimble, cooperative approach.”
New State also announced that it has established a behavioral healthcare platform with the recent acquisition of a majority stake in LLMS, parent company of Bridges Recovery Center and Infinity Malibu. Terms were not disclosed. With several facilities located in California, Bridges and Infinity Malibu offer subacute-detox, residential, partial hospitalization, intensive outpatient and outpatient treatment services for patients facing substance use disorders. The companies, founded by George Boyadzhyan, who continues as a minority owner and CEO, provide custom treatment plans blending experiential therapy, yoga, physical activities, and psychoeducational groups.
Also announced today, Steve Larned has joined New State as a Partner. Mr. Larned has more than 30 years of experience in executive management, strategy consulting and private equity operations across a range of industries, including healthcare, technology services, information/business services, manufacturing and distribution. Prior to New State, Mr. Larned was a Senior Operating Executive at Welsh, Carson, Anderson & Stowe, where he also served in board roles and led a healthcare company as interim CEO. Previously, he was a senior executive at Dell, Inc., and he started his career at Bain & Company. Mr. Larned earned his undergraduate degree in Economics from Duke University and has an M.B.A. from the Harvard Business School.
Mr. Larned, who will oversee the behavioral health platform, said, “We identified behavioral healthcare as a fast-growing healthcare segment, but one that is very fragmented. More people are struggling with addiction today, but fortunately, many are seeking treatment, which is increasingly covered by health plans. Bridges and Infinity Malibu have stellar reputations for delivering consistent, high quality care, making them an ideal cornerstone of our new platform. We look forward to growing this platform, giving it the geographic footprint needed to become a high quality, scale asset in this space.
“This is an exciting time to join New State, and I look forward to working with the New State team as we make investments in the behavioral health field and across New State’s other core sectors,” said Mr. Larned.
About New State Capital Partners, LLC
New State Capital Partners, LLC is an entrepreneurial-minded private equity firm that strives to be more nimble, more decisive and more cooperative than larger, institutional firms. New State prides itself on a long-term outlook, approaching each potential investment as an opportunity to create lasting and valuable relationships, rather than as an exercise in meeting rigid investing criteria. The firm is very flexible about the structure of its investment and focuses on growth and add-on investment. New State invests in market-leading companies with $8 million to $30 million of EBITDA in the areas of business services, healthcare services and industrials, and has in excess of $370 million in assets under management. For more information visit www.newstatecp.com.