CHAI PATEL, the serial healthcare entrepreneur, is to launch a comeback and has set up an acquisition vehicle called Court Cavendish to take advantage of opportunities in the sector.

Patel is using his own family money to finance deals and has recruited Dave Spruzen as his chief executive. This week he is expected to confirm he has completed his first deal acquiring Care Management Group, a business that specialises in looking after patients with learning and mental-health problems. It has 700 beds and employs 1,250 staff.

The business has debts of £140m and it is thought that its lead bank, Dresdner, and Intermediate Capital Group, which provided mezzanine finance, have agreed to hand over ownership to Patel. In return they will take warrants in the firm.

Patel has managed several healthcare companies, including his first company, which was called Court Cavendish, and the Priory.

Separately, Patel has set up a new private-equity vehicle called Elysian with Ken Perry, who is a former partner of Doughty Hanson.

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