Ziegler, Link•Age Ventures form $26.6 mln fund to target the aging market

Healthcare investment bank Ziegler, and Link•Age Ventures, Inc., have raised $26.6 million for the Ziegler Link•Age Longevity Fund, L.P. The fund will focus on the aging market and companies that provide products, services and technologies to meet the needs of seniors and senior living providers. Fund I will target equity and equity-like investments in healthcare services, healthcare technology and other related products. The fund’s limited partners include about 70 non-for-profit senior living providers and other healthcare-focused organizations.

Press Release

Ziegler, a leading healthcare investment bank with a significant presence in the senior living, healthcare, and information technology sectors as well as other related investment activities, and Link•Age Ventures, Inc. (Link•age), a venture firm focused on investing in leading companies that provide products, services and technology to the aging marketplace, are pleased to announce the formation and close of the Ziegler Link•Age Longevity Fund, L.P. (the “Fund”).

The Fund is one of the first to focus on the aging market and companies that provide innovative products, services and technologies to meet the growing needs of seniors and senior living providers in this changing era of healthcare reform. The General Partner of the Fund is Ziegler Link•Age Management, LLC, a Delaware limited liability company, which is a 50/50 joint venture between Ziegler Longevity, LLC, an affiliate of The Ziegler Companies, Inc. and Link•Age, (collectively, the “General Partner”).

The Fund will target equity and equity-like (including convertible debt) investments in companies that provide healthcare services, healthcare technology and other related products and services relevant to the senior living and aging population marketplace (the “Longevity Economy”). The Fund also provides a unique platform for collaboration and innovation amongst the Limited Partner investors, who are primarily comprised of approximately 70 not-for-profit senior living providers from across the nation and select other healthcare focused organizations. Both John Hopper, Chief Investment Officer of the Fund and Neil Borg, Head of Corporate Finance Healthcare at Ziegler as well as the Chief Strategy Officer of the Fund, believe the Fund’s differentiated and targeted approach will enable the strategic LPs and high profile, innovative companies to engage on positively impacting the seniors landscape.

The Fund is founded on the belief that the increasing aging population of the United States presents an attractive investment opportunity, given the size, growth and complexity of this population’s needs within a continually evolving healthcare system – a system which is focused on this demographic from a variety of healthcare constituents, from managed care organizations, health systems, physician practices to alternate site providers. While the current financial sponsor market generally has a broad focus across the healthcare landscape, the General Partner believes a concentrated approach on companies that are serving the Longevity Economy will enable it to leverage its domain knowledge and relationships to find attractive investment opportunities.

Key investment themes will include, but are not limited to, the following:

Aging in Place
Coordination of Care
Chronic Disease Management
Reduction of Hospitalizations and Readmissions
Disease Prevention and Wellness Strategies
Government Funded Programs / Public Health Related Matters

The Fund will generally invest in companies who have established solutions and are seeking additional growth capital, while leveraging the expertise of the General Partner to grow and be successful across this market segment.

Dan Hermann, Head of Investment Banking at Ziegler stated, “Providing our not-for-profit senior living and healthcare services clients with unique access to high profile, innovative companies, along with the collaborative idea sharing between the Limited Partners (LPs) and healthcare constituents, will benefit the entire community. We want to build on not-for-profit providers’ historical approach to shared learning experiences and provide a forum to cultivate new solutions relevant to their organizations.” Hermann continued, “In addition to providing private equity type returns in a space our LPs know well, aggregating the expertise and resources of our general partnership, coupled with the direct operator knowledge of our broad and pro-active senior living providers, will allow us to collectively push forward the innovation of quality and efficiency care for seniors.”

Scott Collins, CEO of Link•Age added, “We cannot be more excited for the Fund. Not only do we believe the investment thesis of the Fund and the demand for new solutions in the Longevity Economy are compelling, we also believe that providing our investors with a platform to evaluate new products and services, while collaborating with other respected peers from around the country is incredibly valuable.”

The total capital commitments to the Fund are $26,620,000.

For more information on Ziegler, please visit http://www.ziegler.com. For more information on Link·age Ventures, please visit http://www.LinkageConnect.com.

Link•Age Ventures is an investment firm interested in investing in financially viable companies that provide products, services or technology to the aging marketplace. Link•Age Ventures is a “hybrid” firm in that it will invest in traditional venture capital opportunities and more established companies that fit its investment criteria. Link•Age Ventures looks to invest in companies that understand and can leverage the Link•Age network of 600 senior living communities and over 300,000 residents to grow their organizations.

The Ziegler Companies, Inc. (PINKSHEETS: ZGCO), together with its affiliates (Ziegler), is a specialty investment bank with unique expertise in complex credit structures and advisory services. Nationally, Ziegler is ranked as one of the leading investment banking firms in its specialty sectors of healthcare, senior living, religion, and education, as well as general municipal and structured finance. Headquartered in Chicago, IL with regional and branch offices throughout the U.S., Ziegler provides its clients with capital raising, corporate finance, FHA/HUD, strategic advisory services and research. Ziegler serves institutional and individual investors through its wealth management and capital markets distribution channels.