Vesey Street Capital Partners, a New York-based healthcare services private equity firm, completed a recapitalization of Safecor Health, a provider of pharmaceutical unit dose packaging services for hospitals and health systems as well as unit dose packaging services to pharmaceutical manufacturers and digital pharmacy companies. Terms of the transaction were not disclosed.
“Vesey Street Capital Partners is both excited and honored to be partnering with Steve Fischbach, Ryan O’Dell and the rest of the management team at Safecor Health to help support and enable its next phase of growth. Not only are we enthused about its existing and future internal growth plans, but we also view the company’s footprint as an excellent vehicle to expand via add-on acquisitions,” Adam Feinstein, managing partner of Vesey Street Capital Partners, said.
“Having a long-standing relationship with the principals of the company, we are big admirers of Safecor’s positioning and prospects and believe that the company’s best-in-class quality, excellent compliance track record, deep-seeded customer relationships and experienced and well-respected leadership will continue to allow for meaningful growth in the future,” Larry Marsh, general partner of Vesey Street Capital Partners, said.
“The partnership with Vesey Street Capital Partners is exciting, not just for Safecor Health’s growth but for the impact we can collectively have on our customers,” Fischbach, who is a co-founder and CEO of Safecor Health, said. “Our mission, driven by our dedicated employees, has been to build a service platform that meaningfully improves the cost and efficiency of healthcare providers. VSCP’s deep market knowledge and their dedication to putting capital to work will greatly accelerate the expansion of our platform and the positive impact we can have on our customers.”
“I am thrilled about this new chapter for Safecor Health,” O’Dell, who is a co-founder and president of Safecor Health, said. “Our ability to improve and expand our services, build critical capacity and further the use of technology to provide cost savings to hospital, pharmaceutical and retail customers will allow us to have an even greater impact in the marketplace. Our customers are challenged every day with reimbursement changes and limited capital and resources, all while trying to stay focused on patient care. Our new partnership with VSCP will allow us to invest in enhancing our services and building out new capabilities that will directly address those issues throughout the continuum of patient care.”
Vesey Street Capital Partners and affiliates contributed the equity for the transaction. JPMorgan Chase Bank provided debt financing to support the transaction and Kirkland & Ellis served as legal counsel to Vesey Street Capital Partners. Chabria Advisory served as financial advisor and Barack Ferrazzano Kirschbaum & Nagelberg served as legal counsel to Safecor.