Key exit Routes Healthcare

Key has sold its interest in high acuity domiciliary care provider, Routes Healthcare, in a secondary buyout by Palatine Private Equity.

June 20, 2021

Key have been a supportive partner over the last four years and made a significant contribution. Their understanding of our sector and the broader challenges of growing a business meant their input was always both valuable and constructive. Key worked collaboratively and with true empathy for the well-being of all stakeholders during the many challenges faced through the Coronavirus Epidemic. This meant we were able to continue to provide much needed frontline health and social care services in a time of great need.

The transaction gives Key its second successful exit from Fund VIII and is Key’s third exit of the last 12 months following the exits of Sparta Global and Hallam Medical.

Routes provides enhanced and complex domiciliary care to local CCG’s and private clients in the North of England. The business has extensive experience in caring for and supporting clients with a variety of healthcare needs, including palliative care, degenerative conditions, spinal injuries, brain injuries and also mental health and learning disabilities. Headquartered in Macclesfield, Routes operates across 14 service centres.

It’s been inspirational to see the commitment and care the Routes team give their clients and also how the entire business rose to the challenge of Covid-19. Routes has come a long way during Key's investment and we wish the team every success in the future.

Key backed Routes’ Founder in an equity release deal in 2016 with a vision of expanding the Company’s service offering and geographic coverage while at the same time bolstering the management team. Since Key’s investment, the company has expanded rapidly, with annual sales almost quadrupling from £7m in 2015 to £27m in 2021 driven by an enhanced senior management team led by CEO Jackie Lindsay.

Advising Key and management on the deal were Grant Thornton (Vendors corporate finance adviser), Ward Hadaway (Vendors Legal), Osborne Clarke and Connell Consulting (Vendor Due Diligence) and Park Place LLP (Management adviser).