Excellere Partners, a Denver-based private equity firm, has exited its investment in MTS Medication Technologies, selling the company to publicly traded Omnicell Inc. Terms of the deal were not released. Excellere closed its investment in MTS in late 2009, the firm said in a press release.
Excellere Partners, a Denver-based private equity firm focused on partnering with middle-market entrepreneurs and management teams, announced today that it has sold MTS Medication Technologies (MTS), a leading international provider of medication adherence packaging solutions, focused on the long-term care and retail pharmacy markets. In May 2012, St. Petersburg, Fla.-based MTS was sold to Omnicell, Inc. OMCL -1.03% a leading provider of medication and supply management solutions and analytics software for healthcare systems.
Excellere closed its investment in MTS in late 2009 and since that time, worked closely with the company’s management on foundation building and organic growth. The results of these efforts are evidenced by the nearly doubling of MTS’ earnings in less than thirty months. Excellere assisted the MTS leadership team with enhancing its organizational infrastructure; strengthening its senior management team; improving and streamlining new product development roadmap processes; and, significantly expanding manufacturing capabilities and capacity. All of these efforts led to improved operational efficiencies within MTS, and greater profitability over time.
“We partnered with MTS because we liked their medication management value proposition to their customer, which combines outstanding equipment technology with a consumable package in a compelling razor-razor blade model in the healthcare sector; an area in which we have had extensive experience and success. After nearly two years, based on interest from perspective buyers and the current M&A environment, we decided to explore our options in selling MTS, to realize the significant value that was created since it became part of our investment portfolio,” explained Robert A. Martin, founder and Managing Partner at Excellere.
“The acquisition of MTS by Omnicell should enhance MTS’s global reach as well as advance and accelerate the company’s product offerings to continue its global leadership in medication management solutions. During our ownership, we successfully prepared the company and its management team for such expansion opportunities,” Martin noted.
Todd Siegel, chief executive officer of MTS, added: “Our partnership with Excellere exemplified what business entrepreneurs are seeking in a financial partner. Many private equity firms stated they offer more than financial resources but Excellere proved they actually do provide value beyond just making a capital investment. Understanding our customers, markets and operational needs were priorities that Excellere and management shared, ultimately generating extraordinary results. MTS could not have asked for a better partnership.”
MTS designs, develops and manufactures proprietary pharmaceutical adherence packaging along with a complete line of highly specialized automated equipment to assist institutional pharmacies and long term care facilities with pharmaceutical dispensing, inventory management, and storage. MTS serves more than 8,000 customers in the United States, Canada, Europe, Australia, and the Middle East.
About Excellere Partners
Denver-based Excellere Partners is a middle-market private equity firm with $730 million of capital under management. The firm specializes in partnering with entrepreneurs and management teams through majority recapitalizations and management buyouts. Excellere employs a buy-and-build strategy that provides its portfolio companies with capital as well as a proprietary value creation system designed to accelerate growth while strengthening corporate infrastructure. Investments are focused on companies within the following industries: healthcare; specialty foods; industrial technology and services; business services; energy services and education and training. Excellere’s current investments include AlexaCare Health Solutions, ASI Government, Medtech College/Institute, Personable Insurance, U.S. Water Services and Integrated Petroleum Technologies. Other recent successful exits include MedExpress and Advanced Pain Management.