Healthcare Finance Group Secures Equity Investment

NEW YORK, Nov. 30 /PRNewswire/ -- Healthcare Finance Group, Inc. ("HFG" or the "Company"), a specialty finance company that provides revolving credit facilities and term loans to healthcare providers, today announced the completion of a private equity financing. The funding will be used to accelerate growth and expand the Company's product offering. The transaction was co-led by Greenhill Capital Partners and LLR Partners. As part of the transaction, Robert H. Niehaus of Greenhill Capital Partners and Mitchell Hollin of LLR Partners have joined the HFG board of directors. Piper Jaffray advised the Company on this transaction.

"Healthcare Finance Group is well-positioned to aggressively deploy this new capital across the healthcare marketplace as cash flow-based financings," says Isaac Soleimani, Chairman and Chief Executive Officer of HFG. "This equity investment represents an important milestone in HFG's expansion. Our company was formed in 2000 as part of a management buyout backed by Morgan Stanley. We are now joined by two premier financial services investors who will not only provide significant new equity capital, but also bring valuable relationships and knowledge to our business. Morgan Stanley will continue to be an equity investor and provide securitization warehouse and placement capabilities."

HFG provides "best-in-class" asset-based and cash flow-based financing solutions to the healthcare industry. The Company offers secured revolving credit facilities and term loans from $5 million to $100 million, with terms custom-tailored to each client's needs - at pricing that leads the market. HFG has offices in New York, Atlanta, Chicago, and Los Angeles to serve clients located around the country.

"We are delighted to make this investment in HFG," says Robert Niehaus, Chairman of Greenhill Capital Partners. "We have been impressed with management and the quality of the Company's operations. Healthcare finance presents a large and growing industry opportunity. We believe HFG is an excellent platform to capitalize on this growth opportunity."

Mitchell Hollin, a Partner at LLR Partners, says, "HFG has an exceptional management team and consistent track record of growth, while maintaining diligent credit controls. We are confident HFG will accelerate its growth by broadening its product offering and target market."

About Greenhill Capital Partners

Greenhill Capital Partners manages several private equity funds with an aggregate of $1.3 billion in committed capital, focusing on the financial services, energy and telecommunications industries. Its publicly traded portfolio companies include: Global Signal Inc., Heartland Payment Systems, Inc. and Hercules Offshore, Inc. Greenhill Capital Partners is an affiliate of Greenhill & Co., Inc. , an independent global investment banking firm with offices in New York, London, Frankfurt and Dallas. For more information please visit http://www.greenhillcapitalpartners.com/.

About LLR Partners Inc.

LLR Partners Inc. is a $620 million private equity firm providing capital to middle market companies with growth potential, proven business models and outstanding management teams. LLR makes investments in a broad range of industries, with an emphasis on business services, healthcare, financial services and information technology. Based in the Philadelphia area, LLR seeks to create value through a variety of transactions, including expansion capital investments, buyouts and recapitalizations. For more information about LLR, please visit http://www.llrpartners.com/.