NEW YORK & ST CHARLES, Ill.--(BUSINESS WIRE)--Healthcare Linen Services Group (“HLSG” or the “Company”), a leading provider of healthcare laundry services in the Midwest and Central United States, today announced a strategic growth investment from York Capital Management’s private equity group (“York Private Equity”). Terms of the transaction were not disclosed.
Founded in 1915, HLSG is an outsourced provider of mission-critical linen management solutions that partners with healthcare administrators, clinicians and staff across the Midwest and Central U.S. to deliver a wide variety of comfortable, bacteria free linens to thousands of hospitals, physician offices, surgery centers, and nursing homes. The Company operates 11 state-of-the-art processing plants across four premier regional brands – Logan’s Linens (Shelbyville, KY), Logan’s Uniform Rental (Shelbyville, KY), Superior Health Linens (Cudahy, WI), and Textile Care Services (Rochester, MN) – that manage more than 185 million pounds of healthcare linen on an annual basis for over 500 customers in 12 states.
Joe LaPorta, CEO of HLSG, said, “I am looking forward to our new partnership with York Private Equity, and the growth opportunities they provide through both capital and expertise. Today’s Healthcare customers demand sustainability and scale to support their mission of quality care and geographical expansion. HLSG will leverage this new partnership with York to both solidify our footprint and enter new geographies via strategic acquisitions. We will also continue to invest in automating our existing facilities, accelerating our growth, and furthering our commitment to providing the highest level of quality and service to our customers.”
“HLSG is one of the leading outsourced healthcare linen providers both regionally and nationally,” said Seth Pearson, Managing Director at York Private Equity. “Our investment in the Company aligns with our goal of backing strong management teams with additional capital to drive value for their customers, enter new markets, and execute on their growth strategy.”
Harish Nataraj, Managing Director at York Private Equity, added, “We are thrilled to partner with the team at HLSG as we work together to pursue the next chapter of growth for the Company. This investment represents an attractive opportunity to create value for all of the Company’s stakeholders given York Private Equity’s extensive experience in both the healthcare and facilities services sectors.”
HLSG is the fifth platform investment completed in the last twelve months and the seventh since inception by York Capital’s middle-market private equity fund, York Special Opportunities Fund III, L.P., an $800 million dedicated fund raised in April 2020. York Private Equity seeks to partner with founders and entrepreneurs to help facilitate and support organic and inorganic growth in industries such as healthcare services, financial services, business services, consumer/retail, and industrials.
Solomon Partners acted as the financial advisor to York Private Equity. Lincoln International and Stephens Inc. acted as the financial advisors to HLSG.
About Healthcare Linen Services Group
Healthcare Linen Services Group (HLSG) is a leading provider of linen management services to the healthcare and hospitality industries. Four premier regional brands, Logan’s Linens (Shelbyville, KY), Logan’s Uniform Rental (Shelbyville, KY), Superior Health Linens (Cudahy, WI), and Textile Care Services (Rochester, MN) were brought together through the guidance and ownership of Thompson Street Capital Partners (TSCP), St Louis, MO. HLSG currently operates 11 state-of-the-art laundry processing facilities in four states delivering over 185 million pounds of assorted quality linens into both the healthcare and hospitality markets. For Additional Information, visit https://healthcarelinensg.com/.
About York Private Equity
York Private Equity, the private investing arm of York Capital Management, primarily targets control investments in middle-market businesses. Since inception in 2008, York Private Equity’s middle-market strategy has completed over 50 investments with aggregate transaction value in excess of $4 billion. York Private Equity has 14 dedicated team members. For more information please visit: https://www.yorkcapitalpe.com.