Financial details for the deal were not disclosed, although a previous report by Dow Jones suggested the healthcare company could be valued at more than £100m.
Sovereign had been following a dual-track sale process for the domestic care and personal care support service business, considering both an IPO and an outright sale.
Back in May Sovereign made a 5.3 times cash multiple and 70 per cent IRR by selling World Class Learning to Baring Private Equity-backed Nord Anglia Education.
The company provides care homes for adults with learning disabilities and mental disorders in the UK.
Sovereign capital Dominic Dalli said, “We are delighted with the growth that City & County has achieved during our investment, which is a testament both to our investment model, and, more importantly, to the hard work and dedication of City & County’s management team and care workers.
“Our approach is to provide portfolio companies with serial rounds of funding to enable them to meet their growth goals, whether that growth is through acquisitions or roll-outs.
“City & County’s tremendous growth in only four years is a great example of this model in practice.”
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