Kohlberg exits healthcare company in $358m sale

Kohlberg & Company has exited Critical Homecare Solutions following a failed attempt to sell to a SPAC backed by a health-focused private equity firm.

Kohlberg & Company has agreed to sell Critical Homecare Solutions, a company that provides medicine and nutrition to patients, to BioScrip in a deal valued at $358 million.

The deal is expected to close in March.

The company, created in 2006, was the subject of a failed merger with MBF Healthcare Acquisition, a special purpose acquisition company backed by private equity healthcare specialist Coral Gables. The failed deal, initially valued at $534 million, was the victim of the financial downturn.

CHS has grown through acquisitions, adding on 11 companies since its founding.

The Westchester, New York-based firm, established by former Kohlberg Kravis Roberts co-founder Jerome Kohlberg, typically invests in mid-market companies with enterprise values between $100 million to $500 million.