We combine deep private equity expertise with hands-on experience at growing healthcare companies, enabling us to assist with growth at every stage and anticipate the challenges and opportunities along the way.
We are a private equity investment firm founded with the goal of being a world-class partner to healthcare companies in the lower middle market. We have spent over two decades investing in healthcare while also working directly with operating companies to create value. We strive to bring founder-level empathy to every interaction with our portfolio and potential partners. We look to invest in companies where we can make a meaningful impact and improve the healthcare industry through reducing cost, improving outcomes, and providing a foundation for excellence and accelerated growth.
Our target investments typically share some, if not all of the following characteristics:
Fragmented, Growing Markets
We look for market sectors that have above-average growth profiles, offer the potential for consolidation, and support a critical need in the marketplace.
Market Leadership Potential
We pursue opportunities where the market is ripe for next generation platforms to grow into market leadership. These companies often exhibit a history of profitable operations.
Opportunity for Technology Enhancement
We prioritize situations in which the implementation and adoption of technology can improve visibility into daily operations, drive growth, and provide a platform for M&A.
Strong Leaders and Passion for Healthcare
We seek leaders who bring vision, experience, and a commitment to excellence. We invest in organizations that are passionate about improving healthcare outcomes and building strong communities.
In addition to the above factors, we seek companies that fit the following criteria:
Majority buyouts or recapitalization (51% to 100%); will consider minority growth capital investments
Double-digit growth and margins in-line with or above the industry average
Platform EBITDA of $2 to $10 million with no minimum for add-on investments
U.S. or Canada
Cleargate focuses on specific healthcare sub-sectors, building deep expertise and proprietary relationships. Our value creation plans are designed to enable successful outcomes for all parties.
Consolidate specialty point solutions, in a highly fragmented market, to drive meaningful ROI to healthcare providers.
Solve paint-points around billing compliance, IT / cyber security, and provider credentialing through sophisticated services and technology.
Invest in growing platforms that address the unmet need for high-quality behavioral health services in areas like ABA therapy, SUD services, and outpatient mental health.
Partner with providers who operate in large, highly fragmented markets and deliver higher quality care at lower cost.
Target high-ROI solutions, particularly within prior authorization, denial management, payment integrity and risk management.
Address the healthcare workforce shortage through training and education, ultimately producing more effective and engaged providers and support staff.