Former bankers aim to raise $250M to invest in aged care

Published on

Former National Australia Bank CEO Andrew Thorburn (pictured right) and Michael Traill (left), a former Macquarie Bank Executive Director, plan to use their social impacting investing business For Purpose Investment Partners to raise a $250 million strategic investment vehicle to lift standards in the aged care disability and social housing sectors.

Mr Thorburn, who left NAB days after being criticised by the final report of the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry was tabled in Federal Parliament on 1 February, 2109, said the Federal Budget which committed $17.7 billion over five years to the aged care sector, had given his business a “huge tailwind” as standards of governance and staffing levels and training will need to lift.

“We are not asking for subsidies. We are going to run the business really well for the long term,” Mr Thorburn told the Financial Review.

“These social issues are real. Finally, government is working on it. But you need funding with business discipline that gives returns to investors while also thinking about explicit social KPIs.”

For Purpose Investment Partners has made two standalone investments in the past 10 months: In April, it bought aged care, early childhood education and disability training business Catalyst Education, in a deal worth about $25 million. Last August, it was part of a consortium that put $48 million into 60 Summer Housing specialist disability accommodation apartments.