Angelo Gordon ventures into healthcare

Following a string of healthcare-related private equity real estate deals this year, New York-based alternative investment firm Angelo Gordon has acquired a provider of home healthcare and nursing services in the US.

Angelo, Gordon and Company has completed the acquisition of National Home Health Care Corporation, a provider of home healthcare and staffing services in the Northeast US. The firm partnered with Eureka Capital Partners on the transaction.

NHHC shareholders received $12.75 per share following the terms of the deal.

“It’s with great pleasure that we announce the closing of this exciting acquisition,” Dan Bonoff, managing director at Angelo Gordon, said in a statement. “This company is competing in a high-growth niche of the healthcare services industry and is well positioned to capitalize on favorable demographic trends. Since NHHC is led by an outstanding management team, we believe it is a very attractive platform for future growth.”

NHHC president and chief executive, Steven Fialkow, and chief financial officer and vice president of finance, Bob Heller, will continue in their current roles following the agreement. The healthcare services provider currently has operations in New York, New Jersey, Connecticut and Massachusetts.

Investments in the US healthcare sector have received much attention this year. “As the population of our country gets older, the demand for healthcare services will increase. Commercial real estate investors who invest in the medical office sector will benefit from these demographic changes,” Steve Bolen, managing director at LaSalle Investment Management and head of the firm’s medical office fund, told PERE in October.

LaSalle picked up a portfolio of nine medical office buildings in New York State last month for a total of $100 million. The properties were acquired by LaSalle’s Medical Office Fund II, a private real estate investment trust with $300 million of equity and an approximate $850 million purchasing power.

In July, The Carlyle Group also acquired Toledo, Ohio-based Manor Care, a provider of short-term post-acute and long-term health services, in a deal valued at $6.3 billion. Carlyle picked up more than 500 nursing facilities in the process.