WHERE WE SEE OPPORTUNITY

We seek management teams and companies focused on improving quality, increasing efficiency and/or lowering the costs of healthcare. We see numerous specific themes giving rise to opportunities for achieving these goals, including:

Influence of New Technology

Continued developments in information technology, communication systems, data analytics, as well as therapies create opportunities for the overall health system to more efficiently and effectively treat many illnesses, injuries and conditions. New businesses created based on such developments are potentially attractive to us, including businesses that serve patients, healthcare providers and product developers .

Legislative, Regulatory and Reimbursement Changes

Healthcare costs continue to rise rapidly, putting pressure on the system and compelling payers to seek alternative approaches. The ongoing expansion of value-based reimbursement models driven by Centers for Medicare and Medicaid Services (“CMS”) and by private payors create significant opportunities to develop innovative healthcare businesses. Companies that respond to these changes, providing efficient solutions to the administration of healthcare in the new contexts, are potentially attractive to us.

Consumer Convenience and Value

Armed with increased access to medical information, patients are insisting on a greater role in their choice of care. In addition, many patients are increasingly responsible for a significant portion of the costs of their own healthcare above and beyond their health insurance premiums. This cost shifting is causing consumers to choose more cost-effective settings for their care. As a result, the opportunity for companies delivering convenience and value to the healthcare consumer is substantial, and potentially attractive to us.

Specialization

New companies, highly focused either on a specialized service or a new care setting, typically have an advantage in terms of efficiency and cost-effectiveness over long-established service providers, such as general hospitals. Such specialized service providers are potentially attractive to us.

Elder Care

The aging of the population is likely to drive healthcare expenditures for decades into the future. Efficiently caring for an older population requires focused and active management of patients’ chronic medical conditions and the disorders specific to the elderly. Opportunities to care for the elderly outside of traditional expensive care settings or treatment centers are potentially attractive to us.