The Strategic Value of Healthcare Industry Expertise in Private Equity: How Vesey Street Capital Partners’ Advisory Board Adds Competitive Edge in the Lower Middle-Market Sector

In the evolving landscape of private equity, sector-specific expertise has become a critical differentiator, particularly in complex industries like healthcare. For firms targeting the lower middle-market—a segment characterized by smaller, founder-led businesses with untapped growth potential—deep industry knowledge is not just advantageous; it is essential. Vesey Street Capital Partners (VSCP), a private equity firm specializing in healthcare services, has strategically fortified its advisory board with leaders who bring unparalleled expertise in finance, operations, policy, and M&A. These additions, announced in 2025, underscore VSCP’s commitment to leveraging healthcare industry acumen to identify, acquire, and scale lower middle-market opportunities.

A Tripartite Expertise: Finance, Operations, and Policy

VSCP’s 2025 advisory board expansions include Glenn Eisenberg, Todd Gustin, and Chip Kahn, each representing a distinct yet complementary facet of healthcare expertise. Eisenberg, a former CFO of Labcorp, brings global public company leadership and financial expertise, having navigated transformative growth in diagnostics and life sciences [1]. Gustin, CEO of Genoa Healthcare, contributes operational experience in scaling behavioral health pharmacy services, alongside a background in healthcare technology and investment banking [1]. Kahn, with over two decades leading the Federation of American Hospitals, offers policy influence and Capitol Hill experience, positioning VSCP to navigate regulatory shifts that impact healthcare providers [1].

This tripartite expertise aligns with the firm’s focus on lower middle-market healthcare services businesses, which often require tailored financial strategies, operational optimization, and regulatory agility. According to a report by Private Equity Stakeholder Project, healthcare private equity deals in 2023 emphasized “sector-specific operational improvements” as a key driver of value creation [4]. VSCP’s advisory board is uniquely positioned to deliver such improvements, bridging the gap between capital and industry-specific insights.

M&A Mastery: Jim Forbes and the Power of Deal Experience

Complementing these additions is Jim Forbes, a 2025 Senior Advisor whose career spans over $200 billion in healthcare M&A transactions. Forbes’ involvement in landmark deals, including the $33 billion leveraged buyout of HCA Healthcare, highlights his ability to structure and execute complex transactions [2]. For VSCP, which targets founder-led carve-outs and businesses with stable cash flows, Forbes’ expertise enhances sourcing strategies and post-acquisition integration. As stated by VSCP’s Founder & Managing Partner Adam Feinstein, Forbes’ “industry connections and transactional experience” are pivotal in identifying undervalued assets in the lower middle market [2].

This focus on M&A prowess is particularly relevant in a sector where consolidation trends are accelerating. Data from Morningstar indicates that healthcare private equity firms with seasoned dealmakers outperformed peers by 12% in 2024, driven by efficient capital deployment and strategic portfolio alignment [3].

Strategic Sourcing and Risk Mitigation in the Lower Middle Market

VSCP’s advisory board additions directly address two critical challenges in the lower middle market: sourcing high-quality targets and mitigating reimbursement risk. The firm’s emphasis on founder-led businesses and corporate carve-outs—often insulated from volatile reimbursement models—aligns with Eisenberg’s financial expertise and Gustin’s operational track record in optimizing cash flow [2]. Meanwhile, Kahn’s policy insights enable proactive risk management, ensuring portfolio companies remain compliant with evolving healthcare regulations.

Forbes’ role further amplifies this strategy. His experience in raising over $225 billion in financing provides VSCP with access to capital structures tailored for lower middle-market deals, where traditional lenders may be hesitant. As noted in a PR Newswire announcement, Forbes’ appointment is expected to “enhance VSCP’s ability to execute healthcare-focused deals” by leveraging his network of institutional investors and industry stakeholders [2].

Conclusion: A Blueprint for Sector-Specific Dominance

Vesey Street Capital Partners’ strategic advisory board expansions exemplify how private equity firms can gain a competitive edge by aligning sector-specific expertise with operational and financial goals. By integrating leaders like Eisenberg, Gustin, Kahn, and Forbes, VSCP has created a multidisciplinary team capable of addressing the unique challenges of the lower middle-market healthcare sector. As the industry continues to consolidate and regulatory pressures mount, firms that prioritize such targeted expertise will likely outperform peers in both deal execution and long-term value creation.

For investors, the lesson is clear: in healthcare private equity, the depth of industry knowledge within a firm’s leadership often determines its ability to navigate complexity and capitalize on niche opportunities.

Source:
[1] Vesey Street Capital Partners Adds Three Seasoned Healthcare Industry Leaders to Strategic Advisory Board [https://www.prnewswire.com/news-releases/vesey-street-capital-partners-adds-three-seasoned-healthcare-industry-leaders-to-strategic-advisory-board-302549481.html]
[2] Vesey Street Capital Partners Adds Jim Forbes as Senior Advisor [https://www.prnewswire.com/news-releases/vesey-street-capital-partners-adds-jim-forbes-as-senior-advisor-302543911.html]
[3] Morningstar, Healthcare Private Equity Performance Analysis, 2024 [https://www.morningstar.com/news/pr-newswire/20250902ph63360]
[4] Private Equity Stakeholder Project, Private Equity in U.S. Healthcare: Trends in 2023 Deal Activity [https://pestakeholder.org/private-equity-healthcare-2023-trends/]