Linden Capital Partners, a premier private equity firm based in Chicago, has solidified its commitment to the healthcare sector with the strategic acquisition of Alcresta Therapeutics, Inc. This move, finalized on March 12, 2024, marks a significant expansion of Linden Capital Partners‘ portfolio and underscores its dedication to investing in innovative healthcare solutions. Alcresta Therapeutics, previously under the ownership of Athyrium Capital, Bessemer Venture Partners, Frazier Healthcare Partners, and HealthQuest Capital, is renowned for its pioneering enzyme-based products aimed at addressing the complex needs of patients with gastrointestinal disorders and rare diseases. HealthQuest Capital will maintain its stake in Alcresta, reinvesting and continuing as a minority shareholder and board member, signaling strong confidence in the future direction under Linden’s guidance.
This acquisition arrives on the heels of Alcresta’s recent FDA 510(k) clearance for its next-generation RELiZORB® (iMMOBILIZED LIPASE) cartridge. This enhanced device is designed to broaden the reach of RELiZORB technology, catering to a wider patient demographic grappling with rare diseases and enteral nutrition challenges. The launch of this next-generation RELiZORB is anticipated in Q2 2024, promising to bring advanced nutritional support to those who need it most.
Strategic Vision and Leadership Under Linden Capital Partners
To steer Alcresta Therapeutics into its next phase of growth, Linden Capital Partners has assembled a distinguished Board of Directors. This board comprises seasoned experts with extensive experience in healthcare, successful product launches, and effective commercial strategies. Their collective expertise is poised to work in synergy with the Alcresta team, driving forward innovations and enhancing patient outcomes.
Ron Labrum, a respected industry veteran and Operating Partner at Linden, will assume the role of Chairman of the Board at Alcresta. Expressing his enthusiasm, Labrum stated, “I am very excited to join the Alcresta team to support the continuing growth of the company. Alcresta’s rapid progress has made a meaningful difference for patients living with rare diseases that struggle with fat malabsorption. Linden feels very fortunate to partner with Alcresta as it prepares for new levels of momentum and success in the years ahead.”
Daniel Orlando, CEO of Alcresta, also shared his positive outlook on the acquisition: “We have been very impressed with Linden Capital Partners‘ thoughtful investment approach as we finalize launch plans for the next generation RELiZORB and accelerate R&D efforts for an iteration to treat enterally fed patients in the NICU. We anticipate considerable growth in the years to come and appreciate the added strategic planning and investment expertise Linden and the new Board bring to Alcresta.” Orlando also acknowledged the significant contributions of the previous investors, led by Athyrium Capital, in guiding Alcresta to this pivotal moment.
Linden Capital Partners: A Healthcare-Focused Private Equity Leader
Founded in 2004 and based in Chicago, Linden Capital Partners stands as the largest private equity firm in the United States exclusively dedicated to the healthcare industry, based on total buyout capital raised. The firm’s investment philosophy is built on three core pillars: specialized healthcare focus, the integration of private equity and operational expertise, and a unique human capital program. Linden strategically invests in middle-market platforms within key healthcare segments, including medical products, specialty distribution, pharmaceuticals, and healthcare services. To date, Linden Capital Partners has invested in over 40 healthcare companies, encompassing more than 325 transactions, and manages approximately $8 billion in regulatory assets. This acquisition of Alcresta Therapeutics further cements Linden Capital Partners‘ position as a leader in fostering growth and innovation within the healthcare landscape.
About Alcresta Therapeutics, Inc.
Alcresta Therapeutics is committed to the development and commercialization of innovative, enzyme-based solutions designed to meet the unmet needs of patients with gastrointestinal disorders and rare diseases. Their flagship product, RELiZORB, is currently marketed for enterally fed patients suffering from pancreatic insufficiency, a condition associated with cystic fibrosis, pancreatic cancer, and pancreatitis. Alcresta is also actively expanding its platform applications to address the needs of patients with short bowel syndrome (SBS) and premature infants in the NICU, highlighting their dedication to improving the lives of vulnerable patient populations.
This acquisition by Linden Capital Partners signals a promising future for Alcresta Therapeutics and reinforces Linden’s strategic growth in the healthcare sector, promising advancements in patient care and innovative therapeutic solutions.
