Ardian, Roc co-lead Aussie single-asset process on healthcare asset

Ardian and Roc Partners are co-leading a single-asset process on an Australian healthcare recruitment business owned by Sydney-based Crescent Capital Partners, Secondaries Investor has learned.

The duo are backing a transaction to move Healthcare Australia into a continuation fund, according to three sources familiar with the matter.

Greenhill is advising the process, according to two of the sources.

The Australian Financial Review first reported that Crescent was exploring a continuation fund process in March. Crescent acquired a majority stake in Healthcare Australia, which provides training and staffing services, in 2018 from Ares Management and Toscafund Asset Management.

It is unclear which fund Healthcare Australia had been held in. Crescent, Ardian and Greenhill declined to comment. Sydney-headquartered fund of funds and secondaries manager Roc had not returned a request for comment by the time of publication.

For Maryland State Retirement and Pension System, the A$675 million ($439.7 million; €404.2 million) 2015-vintage Crescent Capital Partners V had delivered a 17.58 percent net internal rate of return and a 1.8x distributed to paid-in ratio as of 31 December. The A$490 million 2011-vintage Fund IV had delivered a 6 percent IRR and 0.98x DPI for Maryland as of the same date.

Founded in 2000, Crescent has raised over A$3 billion across six funds and completed more than 45 platform investments across Australia and New Zealand, per its website.

There is significant potential for the private markets in Australia, given that it hosts many large and increasingly sophisticated superannuation funds, an established GP community and a growing private wealth opportunity, as affiliate title Private Equity International has reported.

Campbell Lutyens opened an office in Australia last month and appointed a former Queensland Investment Corporation executive to lead its outpost there.

By geographic focus, Asia and Australasia accounted for 4 percent and 5 percent of LP trades and GP-leds, respectively, in the first half of this year, according to Campbell Lutyens’ mid-year report.

Notable deals there last year include one launched by market stalwart Pacific Equity Partners, which rolled its stake in smart metering business Intellihub into an A$1.5 billion single-asset continuation fund following a strategic sale of half of its stake. Hosen Capital and Quadrant Private Equity also closed on single-asset continuation funds during the year.