Healthcare specialist tops $110m on debut

Consonance Capital Partners has collected more than $110m for a vehicle that will make private equity investments in healthcare’s lower mid-market.

Consonance Capital Partners has held a first close on more than $110 million for its debut private fund, according to a source with knowledge of the situation. 

The firm has not stated a target for the fund on its US Securities and Exchange Commission filings, though a 2011 Reuters profile of Consonance and its founders reported that the vehicle was expected to raise between $350 million and $400 million. 

Consonance did not return a request for comment on the vehicle’s size. 

The firm is led by former JPMorgan Partners colleagues Benjamin Edmands, Stephen McKenna and Mitchell Blutt (who is also a medical doctor). The private equity fund’s investment team includes Sapna Tejwani Jethwa, Sean Breen and Javier Starkand. 

Prior to launching Consonance Capital Partners in 2011, Blutt actively managed the healthcare hedge fund Consonance Capital Fund, according to the Reuters report. The private equity fund “benefits” from its association with Blutt’s hedge business, according to its website. 

The private equity fund will invest in lower mid-market companies in the healthcare sector. The firm typically targets private or family-owned companies with between $20 million and $150 million in revenues, according to its website, and may also consider acquisitions of non-core businesses from corporations. 

Consonance’s private equity staff has experience across a number of different healthcare sub-sectors, including providers, payors, distribution, devices, specialty pharmaceuticals, outsourced services and healthcare information technology. 

The New York-based firm has also established an operating council of healthcare executives to assist with macro theme discussions, idea generation, research, target identification and diligence.