SK Capital eyes healthcare with new hires

The New York-based firm, which spun out of Arsenal Capital in 2007, has hired two Arsenal healthcare specialists, including Aaron Davenport.

SK Capital Partners has hired Aaron Davenport and Jim Marden as managing directors on the firm’s investment team to focus on healthcare investments. Both men previously headed the healthcare investment team at Arsenal Capital, which SK Capital spun out of in 2007.  
 
“Aaron , Jim and I collaborated on several successful investments while at Arsenal,” said SK Capital co-founder and managing director Barry Siadet in a statement. SK Capital co-founder and managing director Jamshid Keynejad said the addition of Davenport and Marden would bolster the firm’s investment effort in “selected segments of health care”.

SK Capital’s investments are typically control buyouts of U.S.-headquartered mid-market companies with enterprise values less than $500 million. The New York-based firm focuses on the specialty materials, chemicals and healthcare sectors. 

James Marden

 
SK Capital currently has two portfolio companies, Aristech Acrylics, a manufacturer of acrylic sheeting, and Ascend Performance Materials, a proprietary technology company central to the production of nylon, plastics and synthetic fibers found in thousands of commercial and industrial products. The combined revenues of the two companies exceed $2 billion.

In April 2009, SK Capital bought the nylon business of Solutia, a developer of specialty chemicals, fibers and fluids, for $50 million. The purchase was made from SK’s second fund, which it began raising in 2009, targeting $400 million with a hard cap of $500 million. The fund had already raised about $100 million in private capital as of April 2009, a source with knowledge of the situation told PEO. It's unclear if the fund has closed. 

SK’s first fund consisted of money from the firm’s principals raised in 2008 for the acquisition of Aristech, which was acquired in April 2008 from Mitsubishi for an undisclosed amount. SK promoted former Goldman Sachs managing director Clark Winter to the position of chief investment officer in December 2008.