InTandem Capital Partners, LLC has made a growth equity investment in South Carolina-based Providence Care. Financial terms were undisclosed. Providence Care offers hospice, palliative care, skilled nursing and in-home physician services.
Growth capital investments are different from acquisitions. The investor gets a stake in the company, but this is not a full buyout. These investments tend to focus on businesses in an intermediate development stage rather than younger companies that attract the interest of venture capital.
The firm made its investments through two of its funds: InTandem Capital Partners Fund II, LP and InTandem Capital Opportunities Fund, LP.
“After meeting with InTandem Capital and understanding the value their team will bring to our company, the decision to partner with them was easy,” said Johnnie Garmon, founder and chief growth officer for Providence Care. “Most important to us was finding a partner that shares our belief in putting the needs of the patient’s care first and specializes in preparing and helping companies execute and accelerate on their growth.”
Providence Care is headquartered in Rock Hill, S.C., with a patient census of 3,000 across all of its business lines.Hospice utilization among Medicare decedents in South Carolina topped 50.8% in 2018, exceeding the national average by a fraction of a percent, according to the National Hospice & Palliative Care Organization (NHPCO), which makes it 21st in the nation.
InTandem Capital Partners is a private equity firm that focuses on health care investments. This deal marks the firm’s first hospice investment, though its portfolio does include Pediatric Home Service, which offers community-based care for children with complex health conditions.
Following the investment, Larry Nabb will become CEO of Providence Care. Nabb was most recently president and chief operating officer of Remita Health.
“Our investment in Providence Care aligns perfectly with our strategy and standards for partnering with high-quality healthcare companies,” said Todd Squilanti, managing director of InTandem Capital. “Given their success and commitment to providing best-in-class services for patients and their families, we believe Providence Care is poised to expand throughout the U.S.”
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