| Why three prominent PE firms see promise in Medline's winning formula, KKR buys Atlantic Aviation in ~$4.5b deal
It’s mega-deal Monday, hubsters!
At first glance, distributing gowns and scrubs to healthcare facilities doesn’t look like a particularly sexy investment opportunity. Turns out, companies like Medline that get such products (and many others) where they need to be around the country are an essential utility of the healthcare system. Commanding a $34 billion enterprise value (including ~$17B of debt) in one of the largest leveraged buyouts in history, Hellman & Friedman, Carlyle and Blackstone are joining hands to invest a majority stake in a healthcare products distributor that has quietly become a force with nearly several decades of family ownership.
With or without covid, acute care hospitals and other sites of care want and need a constant supply of low-complexity healthcare supplies -- be it sterilized trays or exam gloves. The pandemic, if anything, elevated the importance around healthcare’s infrastructure and supply chain, including the reliability and efficiency of medical products distribution. As one source put it, “you don’t want multiple trucks from multiple vendors arriving each day.”
Medline’s secret sauce? The company is really good at... check out my full report on PE Hubfor more metrics and insights on the deal.
Read the full wire commentary on PE Hub...
That’s it for me! Have a great week ahead, and as always, keep on hitting me up with tips, ideas or feedback at springle@buyoutsinsider.com.
Also of note (may require subscriptions) Committing: Los Angeles City Employees’ Retirement System committed to the latest fund from Roark Capital Group despite one board member’s apprehension over labor relations at one of its portfolio companies. That is, the parent of well-known fast food restaurants, including Dunkin’, Buyouts writes. Read it here.
Structured equity: Abry Partners is back in the market with the latest offering of its structured equity investment strategy. The Boston private equity firm recently filed a Form D fundraising document for Abry Senior Equity VI, noting a target of $1.25 billion. Read it on Buyouts.
New head: GIC has picked a senior vice-president to lead its secondaries investment team. The Singapore sovereign wealth fund has made New York-based Brian Kapetanis its head of secondaries, according to his LinkedIn profile. Read more on Secondaries Investor.
PE Deals 
They said it “Making healthcare run better has been our focus for decades. This investment from some of the world’s most experienced and successful private investment firms will enable us to accelerate that strategy while preserving the family-led culture that is core to our success." Charlie Mills, Chief Executive Officer of Medline, said in an announcement on the deal.
Today's letter was prepared by Sarah Pringle Subscribe now to get full, unlimited access to all PE Hub content, including every PE Hub Wire article. Please visit Buyouts for the latest insight into LP activity and Venture Capital Journal for comprehensive coverage and analysis of what’s happening in VC. 
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