Hildred Capital Management, a private equity firm focused on lower middle-market healthcare, has successfully closed its third fund, Hildred Equity Partners III, according to a report by BusinessWire.
The fund surpassed expectations, attracting more than $800m in capital commitments – well beyond its original $600m target – within seven months. This represents more than double the size of its previous fund, Hildred Equity Partners II, which closed in 2021 with $363m in commitments.
The fund received significant backing from a diverse group of global investors, including public pension plans, insurance companies, financial institutions, endowments, private wealth platforms, family offices, and high-net-worth individuals.
The General Partners of Hildred and their affiliates committed over $60m in capital alongside the fund’s Limited Partners.
Andrew Goldman and David Solomon, Co-Founders and Managing Partners of Hildred, expressed appreciation for both new and returning investors, noting the growing number of compelling opportunities across the healthcare ecosystem. They emphasised that the firm’s strategic, operational, and financial expertise would be key in driving strong performance and delivering long-term value.
Hildred’s focus remains on generating strong financial returns by identifying growth opportunities in various healthcare subsectors. These include commercial-stage pharmaceutical and OTC products, care delivery services, medical devices, life science tools, diagnostics, outsourced pharmaceutical and clinical services, and healthcare IT. The firm plans to pursue control-oriented investments in healthcare companies, aiming to improve patient outcomes, increase access to quality care, and reduce costs.
Evercore Private Funds Group acted as the lead global placement agent for the fund, while Kirkland & Ellis served as legal counsel. Alexander Russ, Head of North America at Evercore Private Funds Group, highlighted the strong support from new investors as a testament to Hildred’s reputation in lower middle-market healthcare investing.
With capital deployment set to begin in the first quarter of 2025, Hildred is actively assessing new investment opportunities.
