Navigator Global Investments Limited (ASX:NGI) Acquires 23.5% Stake in 1315 Capital
Strategic Investment
Navigator Global Investments Limited (NGI) has acquired a 23.5% strategic equity stake in 1315 Capital for a total maximum consideration of USD 70.5 million. The transaction will be funded from NGI’s existing financial resources, with USD 27.5 million deferred and subject to performance criteria. NGI’s minority investment will not affect the day-to-day management or operations of 1315 Capital, ensuring that the firm’s investment and decision-making processes remain unchanged.
Financial Terms
The investment includes a minority interest in certain carried interests and incorporates various minority protections focused on aligning interests between NGI and 1315 Capital. The transaction consideration will leverage NGI’s strong financial position without impacting its existing operations.
Transaction Rationale
NGI aims to diversify and expand its exposure to private equity by partnering with an established healthcare investment firm. The strategic investment is expected to generate attractive cash flow for NGI as future funds are raised and existing portfolios are realized. Additionally, targeting a highly fragmented and less efficient segment of the private market aligns with NGI’s risk/return strategy.
About 1315 Capital
1315 Capital is a leading healthcare-focused private equity firm based in Philadelphia, USA, with over USD 1 billion in capital commitments. The firm specializes in commercial-stage healthcare businesses, providing expansion and growth capital to medtech, pharma outsourcing, and healthcare services companies. With a proven track record and a team of 20 professionals, 1315 Capital seeks to achieve premium exits through its differentiated investment process and extensive industry expertise.
Investment Leadership
The investment team at 1315 Capital combines financial and business development expertise with deep industry knowledge, supporting the growth of their portfolio companies. Co-founders Adele C. Oliva and Michael Koby bring over two decades of healthcare investment experience, ensuring robust management and strategic decision-making.
Strategic Benefits
This partnership is believed to enhance NGI’s leadership position in the healthcare private equity sector, offering diversification benefits through its investment strategy and earnings profile. The collaboration with 1315 Capital supports NGI’s long-term growth strategy focused on shareholder value creation and sustained investment performance.
Motley Fool contributor Lianne Eastty has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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