Metalmark nab Morgan Stanley pro(3)

Metalmark Capital, which spun out of Morgan Stanley in 2004, has hired former Morgan Stanley executive Fazle Husain to grow its healthcare dealflow.

Morgan Stanley spin-out Metalmark Capital has hired Fazle Husain, former Morgan Stanley managing director, to lead its investments in the healthcare sector.

Husain had been at Morgan Stanley since 1987 and focused on healthcare investments since 1991. He was also a general partner of Morgan Stanley Venture Partners, which invested primarily in the healthcare and information technology sectors. He has served on the boards of more than a dozen healthcare companies including Allscripts Healthcare, Cambridge Heart and Suros Surgical.

At Metalmark, Hussein is expected to increase the firm’s activity in the healthcare sector. Metalmark already holds several healthcare companies in its portfolio including Cross Country Healthcare, SouthernCare and Vanguard Health Systems. Husain already serves on the board of SouthernCare.

Metalmark, formerly Morgan Stanley Capital Partners, spun out of Morgan Stanley in 2004, but is still run by MSCP veterans and continues to manage roughly $3 billion in funds raised by MSCP. Metalmark invests in industrials, healthcare, financial services, energy and other natural resources. Yesterday Standard and Poor’s Rating Services revealed that Metalmark is planning to acquire Hunter Defense Technologies for $350 million (€255 million).

Last September, Morgan Stanley’s chief financial officer David Sidwell told Reuters that the bank was looking to return to private equity. Morgan Stanley has since made a series of high profile hires for the business, including former Lazard European buyout head Graham Keniston-Cooper, and former Goldman Sachs managing director Steve Trevor.