RoundTable Healthcare Partners, a private equity firm focused exclusively on the healthcare industry, has acquired a majority interest in Salter Labs.
Founded in 1976 by Peter Salter, Salter is a manufacturer of disposable respiratory and sleep diagnostics products used in both the home medical and acute care markets.
"Salter represents an exciting opportunity for RoundTable to enter the respiratory market," says Lester B. Knight, founding partner and co-chairman of RoundTable. "We are looking forward to partnering with the management team and employees of Salter as they expand on their successful track record of developing and marketing innovative products."
Knight will serve as Salter’s new chairman.
To finance the acquisition of Salter and further growth opportunities, RoundTable facilitated the completion of new senior credit facilities and a private placement of senior subordinated notes.
The senior credit facilities were led by GE Commercial Finance Healthcare Financial Services, and included the PrivateBank.
Salter’s senior subordinated notes were acquired by RoundTable Capital Partners II, RoundTable’s second captive subordinated debt fund. Capital Fund II is a subordinated debt fund that makes fixed rate subordinated debt investments alongside the equity investments of RoundTable’s equity funds.
As part of the transaction, Bolder Capital acquired a minority equity stake alongside RoundTable, in addition to a portion of the senior subordinated notes.
Salter is RoundTable’s first platform investment from both its recently closed USD600m Fund III and its recently closed USD200m Capital Fund II.
