Key Takeaways
- • Consonance Capital Partners closed Consonance Private Equity III, L.P. with $1.35 billion in capital commitments, reaching its fundraising hard cap.
- • The firm completed fundraising in under four months, drawing commitments from existing limited partners and a select group of new institutional investors.
- • Fund III will continue Consonance's strategy of investing in lower- and middle-market U.S. healthcare companies, focusing on operational efficiency, cost containment and patient care improvements.
- • The firm did not disclose its original fundraising target, the extent of excess investor demand, or the number of participating limited partners.
- • The investor base spans endowments, foundations, pension plans and financial institutions across a diversified international group.
Summary
Consonance Capital Partners, a U.S.-based healthcare private equity firm, has closed its third flagship fund, Consonance Private Equity III, L.P., with $1.35 billion in capital commitments. The close reached the fund's fundraising hard cap following a heavily oversubscribed process, according to the firm's announcement as reported by citybiz.
The firm completed fundraising in less than four months. Commitments came from existing limited partners and a select group of new institutional investors. The fund attracted a diversified international investor base that includes endowments, foundations, pension plans and financial institutions. Strong re-up participation from existing limited partners helped the fund reach its maximum target.
Fund III will continue Consonance's strategy of investing in lower- and middle-market healthcare companies across the United States. The firm plans to pursue businesses focused on operational efficiency, cost containment and improvements in patient care. It targets companies with growth and operational development opportunities and will use a range of private equity transaction structures. Consonance is based in New York and has generally targeted companies with between $20 million and $150 million in revenue, according to its firm profile.
The firm did not disclose its original fundraising target, the amount of excess demand, or the number of limited partners in the fund. In a joint statement, Consonance's Managing Partners credited existing investors and portfolio company management teams for their support. They said the firm "completed fundraising at a pace that reflects the confidence investors have placed in our team, strategy and results and the strength of our existing relationships."
The firm completed fundraising in less than four months. Commitments came from existing limited partners and a select group of new institutional investors. The fund attracted a diversified international investor base that includes endowments, foundations, pension plans and financial institutions. Strong re-up participation from existing limited partners helped the fund reach its maximum target.
Fund III will continue Consonance's strategy of investing in lower- and middle-market healthcare companies across the United States. The firm plans to pursue businesses focused on operational efficiency, cost containment and improvements in patient care. It targets companies with growth and operational development opportunities and will use a range of private equity transaction structures. Consonance is based in New York and has generally targeted companies with between $20 million and $150 million in revenue, according to its firm profile.
The firm did not disclose its original fundraising target, the amount of excess demand, or the number of limited partners in the fund. In a joint statement, Consonance's Managing Partners credited existing investors and portfolio company management teams for their support. They said the firm "completed fundraising at a pace that reflects the confidence investors have placed in our team, strategy and results and the strength of our existing relationships."
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