Willowbrook, a UK-based nursing and dementia care home group for the elderly, has received a £24m development financing round led by mid-market private equity firm Graphite Capital.
The financing package comprises an £11m equity commitment from Graphite’s most recent fund, Graphite Capital Partners VII, and the Willowbrook management team.
The existing banking syndicate, led by Royal Bank of Scotland, is providing £13.3m in additional debt.
This new funding takes the total commitment of Graphite funds, the management team and its banking partners to almost £80m. In November 2008, Willowbrook raised £53 million to finance the initial development of care homes.
The capital will support a major expansion programme by Willowbrook Healthcare, which is led by a highly experienced management team, headed by John Strowbridge.
In details, the company will use the new funding to develop and acquire additional homes which, it expects, will increase the total number of beds to over 900 in the next couple of years.
Willowbrook, whose care homes operate under the Avery brand, currently has three homes, located in Sunderland, Kirkstall (Leeds) and Newcastle-under Lyme, with a further five under development.