Clinical Research Advantage, a portfolio company of Kinderhook Industries, has acquired the late phase division of Comprehensive Clinical Development. The deal represents the tenth healthcare services transaction completed by Kinderhook. Financial terms of the transaction were not disclosed.
Clinical Research Advantage (“CRA” or the “Company”), a portfolio company of Kinderhook Industries, LLC, announced today the acquisition of the late phase division of Comprehensive Clinical Development (“CCD”). The deal represents the 10th healthcare services transaction completed by Kinderhook. Financial terms of the transaction were not disclosed.
Based in Tempe, Arizona, CRA is a leading trial management organization (“TMO”) that provides Phase II – IV clinical trials management services to the pharmaceutical and biotechnology industries. The Company matches pharmaceutical, biotechnology and contract research organizations with its partner medical practices to recruit patients and conduct clinical trials. CRA has provided research services to the pharmaceutical and medical device industries since 1990, and has successfully completed over 10,800 clinical trials.
CCD is an industry leader in conducting psychiatric clinical trials, specifically in the areas of Schizophrenia, Bipolar Disorder, Depression, and Alzheimer’s Disease. CCD has participated in the development of every major psychiatric drug over the last 10 years and is recognized in the industry as a high quality researcher and successful enroller for psychiatric indications. As a result, CCD has longstanding CRO and pharma relationships across these therapeutic areas. CCD operates four independent sites in Atlanta, GA, Cerritos, CA, Holliswood, NY, and Washington, D.C.
Chris Michalik, a Managing Director of Kinderhook Industries, said, “The combination of CRA and CCD will strengthen the Company’s position as the industry leading TMO. Both companies have a reputation for delivering a high level of service that their life science partners have come to expect. The acquisition will expand our clinical expertise and breadth of therapeutic capabilities.”
“This is an exciting day for CRA,” said Mark Hanley, CEO of CRA. “CRA and CCD have complementary therapeutic offerings with CRA focusing on family practice and general medicine and CCD specializing in psychiatric studies. CCD is recognized as a leader in the psychiatric space and has partnered with several of the leading psychiatric hospitals in the United States. The acquisition will enable CRA to increase its therapeutic offering to CNS studies and diversify the Company’s capabilities. The cultures of these two companies are a great fit as we share a vision of high level service offerings.”
Paul Cifelli, a Managing Director at Kinderhook, stated, “The acquisition of CCD is an important step for the evolution of the CRA platform as it gives the Company an entree into the high growth therapeutic area of CNS with a recognized and highly respected provider of these clinical research services. The high quality employee base and longstanding customer relationships with the CRO and pharma community makes this an attractive asset for CRA.”
Mark Hanley, remarked, “We look forward to continuing to build upon both company’s impressive track record as we can pursue our vision with both scale and strength. The acquisition of CCD will position CRA for continued success.”
Financing for the transaction was provided by TCF Bank. Kirkland & Ellis served as legal counsel to CRA.
About Kinderhook Industries
Founded in 2003, Kinderhook Industries is a private equity firm with $770 million of committed capital and an investment philosophy based on combining senior management and operating experience in a variety of industries with the financial and investment know-how of private equity professionals. Kinderhook primarily makes control investments in companies with transaction values of $10-$75 million in which the firm can achieve significant financial, operational and growth improvements. The firm targets orphaned non-core subsidiaries of corporate parents, existing small capitalization public companies lacking institutional support and management-led recapitalizations of entrepreneur-owned companies. By providing access to capital, strategic advice and an extensive network of relationships, Kinderhook Industries has a history of successfully building privately held firms in partnership with management. For more information please visit: www.kinderhook.com
For additional information about this transaction, please contact:
Chris Michalik Paul Cifelli
Managing Director Managing Director
+1 (212) 201-6782 +1 (212) 201-6797