Franklin Square Capital Partners, a manager of business development companies, financed a $52.5 million second lien senior secured note to National Surgical Healthcare, an owner and operator of surgical hospitals and ambulatory surgery centers in the United States. National Surgical Healthcare is a portfolio company of Irving Place Capital, a private equity firm based in New York City that focuses on buyout and growth capital investments across the middle market.
Financing for the deal was provided by FS Investment Corporation (NYSE: FSIC), FS Investment Corporation II and FS Investment Corporation III, three BDCs managed by affiliates of Franklin Square and sub-advised by an affiliate of GSO Capital Partners.
“The lending capacity across our BDCs makes it possible to tailor financing for strong middle market companies like National Surgical Healthcare,” said Michael C. Forman, chairman and CEO of the three Franklin Square-managed BCDs. “We are pleased to work with Irving Place Capital to support National Surgical Healthcare’s growth.”
The financing allowed National Surgical Healthcare to acquire a majority interest in Optim Health, a physician led provider of general and specialty healthcare services, as well as additional equity ownership in one of its existing surgical facilities.
“The continued support of Irving Place Capital combined with the certainty of execution provided by Franklin Square’s funds will be instrumental in achieving our growth strategy of partnering with surgical facilities with a strong market presence,” said David Crane, chairman and CEO of National Surgical Healthcare.