M&A Deal Summary

Onex Partners Acquires Skilled Healthcare Group

On October 24, 2005, private equity firm Onex Partners acquired healthcare services company Skilled Healthcare Group from Windjammer Capital Investors and New Heritage Capital for 640M USD

Acquisition Highlights
  • This is Onex Partners’ 5th transaction in the Healthcare Services sector.
  • This is Onex Partners’ 19th largest (disclosed) transaction.
  • This is Onex Partners’ 9th transaction in the United States.
  • This is Onex Partners’ 1st transaction in California.
Investment Fate
  • Skilled Healthcare Group went public in 2007.
  • Skilled Healthcare Group was sold to a strategic buyer in 2015.

M&A Deal Summary

Date 2005-10-24
Target Skilled Healthcare Group
Sector Healthcare Services
Buyer(s) Onex Partners
Sellers(s) Windjammer Capital Investors
New Heritage Capital
Deal Type Secondary Buyout
Deal Value 640M USD

Target

Skilled Healthcare Group

Foothill Ranch, California, United States
website
Skilled Healthcare is a operator of long-term care facilities and a leading provider of a full continuum of post-acute care services, with a strategic emphasis on sub-acute specialty medical care. The Company operated a network of 71 facilities in California, Texas, Kansas and Nevada, including both skilled nursing and assisted living facilities.

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Buyer(S) 1

Buyer

Onex Partners

Toronto, Ontario, Canada

Investor Investor Investor Investor Investor

website


Category Private Equity Firm
Founded 1984
PE ASSETS 23.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Onex Partners is the private equity investment arm of Onex Corp., a Canadian based public investment and asset management firm that also invests in real estate and credit securities. Onex Partners targets investments in large companies, and ONCAP which invests in smaller middle-market companies. Both groups consider North American businesses in a wide range of industries with a special interest in aerospace, healthcare, and industrial companies. Prospective transaction situations include corporate carve-outs where the firm can leverage restructuring capabilities. Onex Corp. was established in 1984 and is based in Toronto with an additional office in New York City.


DEAL STATS #
Overall 11 of 57
Sector (Healthcare Services) 5 of 8
Type (Secondary Buyout) 2 of 15
State (California) 1 of 6
Country (United States) 9 of 42
Year (2005) 3 of 3
Size (of disclosed) 19 of 30
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2005-08-16 Spirit AeroSystems

Wichita, Kansas, United States

Spirit AeroSystems is an independent supplier of large component parts and assemblies for commercial aircraft. Spirit AeroSystems offers manufacturing and design expertise on a broad range of products and services for aircraft original equipment manufacture. Spirit AeroSystems was founded in 1927 and is based in Wichita, Kansas.

Buy $375M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2005-12-21 Envision Healthcare

Nashville, Tennessee, United States

Envision Healthcare is a provider of physician-led services and post-acute care, and ambulatory surgery services. Envision Healthcare was founded in 1992 and is based in Nashville, Tennessee.

Sell -

Seller(S) 2

SELLER

Windjammer Capital Investors

Newport Beach, California, United States

Investor Investor Investor Investor Investor

website


Category Mezzanine Finance Firm
Founded 1990
PE ASSETS 2.0B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Windjammer Capital Investors is a private investment firm that invests control equity, minority equity, and/or subordinated debt in growing middle-market businesses. The Firm seeks to invest between $50 and $200 million of equity or subordinated debt in companies that generate at least $8 million of EBITDA. Windjammer focuses on North American-based opportunities and prefers companies with scalable business models, differentiated products/services, and that operate in defensible markets. Broad sectors of interest include manufacturing, business services and value-added distribution. Windjammer does not invest in high technology, real estate, and financial services companies. Windjammer Capital Investors was formed in 1990 and has offices in Waltham, Massachusetts and Newport Beach, California.


DEAL STATS #
Overall 5 of 26
Sector (Healthcare Services) 1 of 1
Type (Secondary Buyout) 2 of 12
State (California) 1 of 4
Country (United States) 5 of 26
Year (2005) 1 of 2
Size (of disclosed) 2 of 9
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2005-06-01 Automatic Bar Controls

Vacaville, California, United States

Wunder-Bar is a provider of innovative dispensing solutions for carbonated and non-carbonated soft drinks, flavored iced teas and other beverages.

Buy $60M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2005-12-01 American Fire Protection Group

Edina, Minnesota, United States

American Fire Protection Group, Inc. is a fire protection industry. American Fire Protection Group provides quality of protection for any facility through a wide variety of fire suppression systems, from basic wet pipe sprinkler systems and dry pipe sprinkler systems to complex special hazards systems, such as foam and chemical suppression systems.

Sell $42M
SELLER

New Heritage Capital

Boston, Massachusetts, United States

Investor Investor Investor Investor Investor

website


Category Private Equity Firm
Founded 2006
PE ASSETS 1.4B USD
Size Large
Type Sector Agnostic
DESCRIPTION

New Heritage Capital LLC is a private investment firm specializing in the acquisition and equity-based recapitalization of private, family owned businesses. Heritage looks to invest in growing, middle-market companies with at least $30 million in annual revenue and EBITDA of at least $4 million. Target sectors include aerospace, consumer products, food/beverage, media/publishing, healthcare, manufacturing, pet products, plastics/packaging, printing, and value-added distribution. New Heritage Capital LLC was formed in 2006 and is based in Boston, Massachusetts.


DEAL STATS #
Overall 4 of 21
Sector (Healthcare Services) 2 of 4
Type (Secondary Buyout) 2 of 11
State (California) 1 of 4
Country (United States) 4 of 18
Year (2005) 4 of 5
Size (of disclosed) 1 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2005-08-30 Rivien Health

United States

Rivien Health LLC is a provider of outpatient rehabilitation services.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2005-10-31 Cecilware

Long Island City, New York, United States

Cecilware, Inc. is a designer, manufacturer, and distributor of beverage dispensing, cooking, and countertop equipment for the commercial foodservice market.

Sell -