As an Operating Partner at GHO and the former CEO and President of GHO Portfolio company BioAgilytix, I’ve witnessed first-hand how GHO’s network creates tremendous value, not only for the leaders of our portfolio companies, but also for GHO’s investment team.
When BioAgilytix, a global bioanalytical laboratory business, was preparing for its sale in 2018, it became clear to me that in order to maximise value, we needed to syndicate with a firm that had deep domain knowledge. My focus was immediately drawn to GHO Capital – to their reputation as a leading healthcare specialist private equity firm, as well as to their exemplary team who I had previously met, notably Managing Partner Mike Mortimer and Edward deNor. I therefore actively sought for their involvement in the deal.
Although headquartered in Durham and located in the Research Triangle Area of North Carolina, our client base had a global reach and GHO advised us to double down on our European investments, viewing transatlantic expansion as an opportunity to boost our infrastructure and market share. In addition to actively participating in several acquisitions, they facilitated crucial customer introductions and assisted in recruiting key team members sourced through its global network. GHO was also instrumental in assembling a 15-member Advisory Board comprised of industry executives via its network, many of whom have themselves built multi-billion-dollar businesses, significantly shaping our strategic direction. Their support in bringing on board members with relevant expertise further enhanced our capabilities.
It was during the pandemic that GHO’s strategic acumen distinctly stood out when, contrary to the conservative stance of many companies and investors, they advocated for increased hiring and expansion. This proactive mentality paid off tremendously, resulting in an average growth rate of over 50% per year from 2020 to 2022.
Around a year after the sale of BioAgilytix to Cinven, I joined GHO Capital as an Operating Partner and I have since had the pleasure of using my own network and experience to augment the operations of several portfolio companies.
One of my initial areas of focus has been working closely with the management team at Sapio Sciences, a leading lab informatics platform providing Laboratory Information Management System, Electronic Lab Notebook and data management solutions to biopharma, CROs and clinical diagnostic labs. At the time of the transaction, Sapio had 27 employees based in the US; less than two years later, it has grown to 91 employees across the US and Europe and its revenue is increasing at a rate of over 40% a year. This growth was facilitated by bringing on board exceptional senior leaders including Mike McCartney as Chief Commercial Officer and former BioAgilytix employee Sean Blake as Chief Information Officer.
One of the most significant ways in which Operating Partners add value is through strategic introductions. For instance, when GHO was considering investing in Alcami Corporation, a leading high growth CDMO, I was able to facilitate an introduction since they were based a stone’s throw away from my former company, BioAgilytix. This allowed us to foster a relationship built on trust from the outset which assisted in securing a successful transaction.
We’re also currently developing a groundbreaking portal that will serve as a digital hub for our network, amplifying its power and reach. This platform will enable our portfolio companies to tap into our collective expertise more efficiently, access shared knowledge, and learn from each other’s experiences in real-time.
By digitalizing our network interactions, we’re breaking down geographical and temporal barriers, allowing for seamless collaboration and idea exchange. The portal will also help identify potential by providing a centralized platform for our network to interact, share insights, and collaborate, we’re creating a dynamic ecosystem that drives innovation and accelerates growth across our entire portfolio.
GHO Capital’s vast network of healthcare leaders is more than just a list of contacts – it’s a dynamic ecosystem that drives value creation for our portfolio companies. By leveraging these relationships, we’re able to assemble world-class teams, foster innovation, navigate challenges, and seize new opportunities in the ever-evolving healthcare landscape.