Investcorp buys US-based healthcare company amid investment spree

The transaction is the company's fifth healthcare deal over the past three years

Since 2001, Investcorp has invested more than $1.5bn in technology businesses worldwide. Courtesy Investcorp

Investcorp, the alternative investment firm that counts Mubadala Investment Company as its biggest stakeholder, acquired US-based Health Plus Management for an undisclosed sum.

New York-based Health Plus Management provides business management and operations services for independent physician practices in the physical medicine and rehabilitation market, Investcorp said on Monday in a statement. The deal is the fifth for Investcorp in the healthcare industry over the past three years.

“The acquisition of Health Plus is in line with Investcorp’s strategy of investing in successful founder-run businesses and in companies that are experts in their industry,” said Hazem Ben Gacem, Co-CEO of Investcorp.

Investcorp, in which Mubadala has a 20 per cent stake, has been snapping up assets as it seeks to double its assets under management to $50 billion from $22bn as of June 2018.

Earlier this month, it signed a deal with London-based Coller Capital for some of its European private equity portfolio assets that will help to create a new $1bn buyout fund.

Investcorp said its technology unit transferred two of its portfolio companies with an enterprise value of $185 million to an investment fund.

The company joined hands with of HarbourVest, a private markets investment specialist that supports the Investcorp Secondary Fund 2018, it said in a January 7 statement. Investcorp Technology Partners recently announced the close of its fourth Technology Fund, ITP Fund IV, a $400m pool. It closed in excess of its target and received strong support from a diverse group of global blue-chip institutional investors.

In September last year, the company said it is investing as much as $250m in the Chinese market, its first foray into the world's second-biggest economy as it looks to expand its portfolio of investments globally.

The company has invested across a range of sectors with transaction values exceeding $57bn.

Since its inception in 1982, Investcorp has made over 175 corporate investments in the US, Europe and the broader Middle East and North Africa region, including Turkey.