#United States #San Diego #Private Equity #HCAP Partners #Arosa

HCAP Partners Successfully Exits Arosa

On May 20, 2025, HCAP Partners, a notable private equity firm based in California, proudly announced its successful exit from Arosa, a prominent care management provider that focuses on supporting older adults and their families. The specifics of the transaction were not revealed, but the impact of this exit marks a significant milestone for both companies involved.

Arosa, founded with the objective of enhancing the quality of care available to seniors, provides non-medical services through an innovative in-home care model that emphasizes dedicated care management teams paired with highly trained caregivers. The company is dedicated to assisting older adults in living securely at home while effectively managing their everyday needs and complex health challenges. With an increasing aging population, Arosa’s role has become increasingly vital, highlighting the importance of supportive services for families and caregivers alike.

Under the strategic leadership of founder Ari Medoff and bolstered by the support of Bain Capital Double Impact, Arosa has seen remarkable expansion throughout HCAP's partnership. Initially starting as a regional provider in four states, Arosa has grown its footprint significantly, now boasting 38 offices in 13 states across the nation. This expansion nearly doubled their employee base, enabling them to deliver compassionate and coordinated care to thousands of seniors and their families.

Hope Mago, a Partner at HCAP Partners, expressed enthusiasm about the partnership, stating, "We are thrilled to have been able to provide Arosa with the capital they needed to continue growing their business. The company was able to leverage that growth to expand its services across the country while creating a quality workplace environment. We look forward to their continued growth." This comments underlie the firm’s commitment to improving access to quality in-home care for aging individuals while prioritizing job quality for caregivers.

Throughout HCAP’s investment period, Arosa increasingly emphasized its mission by enhancing workplace conditions for caregivers through its unique quality jobs impact framework known as the Gainful Jobs Approach™. HCAP itself is recognized for its commitment to impact investing and has been a part of many endeavors aimed at creating better workplaces.

Notably, Arosa took the lead in establishing the first Employee Assistance Fund in their sector, dubbed the Arosa Grant Circle alongside Canary Benefits, to assist caregivers during difficult periods. They also initiated a stabilization fund for those who experienced reduced hours during the COVID-19 pandemic. Such initiatives contributed to higher employee retention rates and positive satisfaction for both clients and employees alike.

Ari Medoff, CEO of Arosa, highlighted the importance of HCAP’s involvement in Arosa’s narrative, declaring, "Partnering with HCAP has been instrumental in advancing Arosa's dual mission of building better models of care for our clients and improving job quality for our teammates." Medoff noted that HCAP’s support was crucial in scaling their impact nationally while remaining aligned with their foundational values.

In retrospect, HCAP Partners expressed pride in being part of Arosa's journey, emphasizing the extensive accomplishments the company achieved during their collaboration, which included stellar growth in client service and a dedicated workforce of caregivers. The collaborative efforts between these two entities not only represent a successful business venture but also underline a shared commitment to improving the quality of life for aging populations across the country.

The transaction was primarily managed by Hope Mago and Jessica Kim from HCAP Partners, highlighting the firm's proactive role in driving positive outcomes within the portfolio.

About Arosa

Founded in 2012, Arosa has developed into the largest integrated provider of care management and home care services in the United States. Their dedication rests on delivering exceptional care management and distinguishing themselves as a premier employer of caregivers.

About HCAP Partners

HCAP Partners specializes in providing mezzanine debt and equity investment services to underserved, lower-middle market companies across the United States. The firm actively engages with its portfolio of businesses to optimize performance and increase their value, having invested in over 65 companies since inception. As a recognized Impact Assets 50 fund since 2014, HCAP continues to focus on creating positive impacts within underserved markets, sectors, and within the communities they operate.

For more in-depth information about Arosa and HCAP Partners, visit their respective websites.