Baltimore-based Remedi SeniorCare, an institutional pharmacy company, has sealed $60 million of a planned $300 million investment from New York-based Centerbridge Partners. Founding investor Sterling Partners will continue to participated in Remedi’s growth, the company said in a release. It is unclear what ownership stakes Centerbridge and Sterling now hold. Specific terms of the investment were not released.
Baltimore-based Remedi SeniorCare(R), one of the nation’s largest institutional pharmacy companies, today announced it has closed a $300 million equity commitment from affiliates of New York-based Centerbridge Partners, L.P., of which $60 million was funded today. The investment will support the continued growth of Remedi’s customer-driven innovations, Paxit(TM) and My Remedi(TM), as well as acquisitions and greenfield start-up pharmacies in new markets across the United States. Remedi’s founding investor, Sterling Partners, will continue to participate in the company’s ongoing growth.
Through the development and deployment of innovative technologies and web-based solutions, Remedi enables long-term care facility operators and providers to efficiently deliver optimal medication management and unequalled resident safety and accuracy while also significantly reducing drug costs. Enabled by the success of its proprietary Paxit Automated Medication Administration System and My Remedi Web Portal in concert with its RapidResponse(SM) customer service offering, Remedi has successfully demonstrated the next generation of service capabilities in the long-term care pharmacy industry. Since deploying Paxit in August 2009, Remedi has dispensed more than 22 million individually blistered medication doses to residents in skilled nursing and assisted living facilities.
“This investment represents a significant milestone for Remedi, and with it comes validation of our technology-enabled service offering, its game-changing abilities and the resulting extraordinary growth potential, ” said Michael Bronfein, Remedi’s Chairman and CEO. “We have a clear vision for dramatically improving pharmacy services for our nation’s seniors and will do so by significantly expanding our operating footprint and offering our leading edge innovative technology and RapidResponse customer service to more customers in more locations across the United States.”
“There is an imminent need for innovative solutions to address our country’s healthcare quality and skyrocketing costs,” said Steven Silver, Centerbridge Partners’ Senior Managing Director. “Paxit is a proven solution that is transformational as it relates to the safety, efficiency and cost of medication. We have the utmost confidence in the Remedi team and their vision, and are eager to participate in Remedi’s growth.”
“Remedi’s executive team is comprised of industry veterans with a deep understanding of this healthcare segment. The team is resolute about providing innovative, world-class customer-focused pharmacy services and solutions that address multiple issues within healthcare today,” Silver added.
“This investment gives Remedi the strength to transform the way long-term care facilities manage medication administration for their residents,” Eric Becker, Sterling Partners’ Senior Managing Director. “By working with providers in new markets across the country, Remedi is implementing new technologies and services that create efficiencies and cost-savings, further validating Remedi’s stated goal of enabling their customer’s success. We believe Remedi has the potential to change the long-term care industry as we know it.”
Remedi was advised by Robert W. Baird & Co. (exclusive financial advisor), DLA Piper LLP (legal counsel) and Ober|Kaler (regulatory counsel). Centerbridge Partners was advised by Simpson Thacher & Bartlett LLP (legal counsel) and Greenberg Traurig LLP (regulatory counsel). Sterling Partners was advised by Katten Muchin Rosenman LLP (legal counsel).
About Remedi SeniorCare(R)
Remedi SeniorCare(R), an innovative long-term care pharmacy provider, enables long-term care facilities to deliver better business results and provide exceptional resident-centered care. At the forefront of implementing high-tech advancements for the industry, Remedi redefined medication administration and management with the launch of the Paxit(TM) automated medication dispensing system delivering superior accuracy, efficiency and medication cost reduction. Remedi’s online and electronic tools via My Remedi(TM) web portal and Electronic Order Entry further drive business management efficiency and overall cost reduction. Remedi supports nearly 25,000 residents across eight states with RapidResponse(SM) customer service, ensuring prompt access to medication delivery, expertise and comprehensive support. For more information and to learn about Remedi’s pharmacy services, visit www.RemediRx.com.
About Centerbridge Partners, L.P.
Centerbridge Partners, L.P. is a private investment firm based in New York City and currently has approximately $17 billion in capital under management. The firm focuses on private equity and credit investments. The firm is dedicated to partnering with world-class management teams across targeted industry sectors to help companies achieve their operating and financial objectives.
About Sterling Partners
Sterling Partners, the sponsoring investor in Remedi SeniorCare(R), is a leading private equity firm with more than 25 years of experience partnering with entrepreneurs to build market-leading businesses and generate superior returns. With approximately $4 billion of assets under management, Sterling invests growth capital in industries with positive, long-term trends and provides ongoing support to management through a dedicated team of industry veterans, operators, strategy experts and human capital professionals. Sterling Partners is a leader in education, healthcare and business services, with offices in Chicago, Baltimore, and Miami.