Penfund has completed a second lien debt investment in Canadian Hospital Specialties, an Oakville, Ontario-based specialty distributor and manufacturer of medical and surgical products. Penfund, a junior capital provider, was lead arranger of the financing, which supported the previously announced acquisition of CHS by Flexpoint Ford. No financial terms were disclosed.
TORONTO, Ontario – Penfund, an independent provider of junior capital to North American middle market companies, announced the completion of a second lien debt investment in Canadian Hospital Specialties Limited (“CHS” or the “Company”). Penfund served as Lead Arranger on the financing, which supported the acquisition of CHS by Flexpoint Ford, LLC (“Flexpoint Ford”).
CHS is a leading specialty distributor and manufacturer of medical and surgical products. Founded in 1967, CHS is one of the most well-respected providers of innovative medical products and customized patient care solutions for customers throughout the healthcare market in Canada and internationally. CHS serves healthcare providers and patients with a wide range of specialty solutions and locally manufactured products and works to introduce the most advanced medical technology in a mission to improve patient care and outcomes.
“We have a longstanding relationship with Flexpoint Ford and have been admirers of CHS’ business for many years. CHS has an impressive and entrenched market position driven by a unique and compelling value proposition to both customers and suppliers. We are thrilled to support Flexpoint Ford’s acquisition of the Company,” stated Nicole Fich, a Partner at Penfund.
Adam Breslin, a Partner at Penfund, added, “We look forward to investing alongside Flexpoint Ford in CHS as the Company continues to execute management’s vision through the next stage of growth.”
About Canadian Hospital Specialties
Canadian Hospital Specialties (est. 1967) is a privately held company located in Oakville, ON, Canada that serves customers in the acute care and alternate site healthcare sectors throughout Canada and internationally. CHS provides single-use and other medical products supplied by global medical device manufacturers as well as its own manufactured products, which are marketed under the proprietary MED-RX® brand, across categories including Respiratory, Anesthesia, Perfusion, Interventional, Biopsy, Drainage, Diagnostic Imaging, Pharmacy, Medication Delivery, Neonatal Care, OEM and General Medical. CHS also provides specialty contract manufacturing services for medical device and life sciences companies.
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 VI. Penfund manages funds sourced from pension funds, insurance companies, banks, family offices and high-net-worth individuals located in Canada, the United States, the Middle East and Europe. Penfund has invested more than C$3 billion in over 225 companies since its establishment. Assets under management are approximately C$1.5 billion.