Osceola Capital has formed Revelation Pharma Cop, which will focus on acquiring 503A compounding pharmacies. Also, Revelation has acquired Pensacola, Florida-based Everwell Specialty Pharmacy. No financial terms were disclosed.
TAMPA, Fla., March 23, 2021 /PRNewswire/ — Osceola Capital (“Osceola”), a lower middle-market private equity firm, announced today the formation of Revelation Pharma Corp. to pursue investments and partnerships across the pharmacy compounding market in partnership with industry veteran Jacob Beckel.
Concurrent with the formation of Revelation Pharma Corp (“Revelation”), the company has completed the acquisition of Pensacola, Florida-based Everwell Specialty Pharmacy (“Everwell”). The acquisition is expected to be followed closely by multiple add-ons. The pharmacies in scope function as 503A compounders, which prepare specially compounded medications. Osceola and Mr. Beckel have identified a rich pipeline of additional transactions. Revelation represents the eighth platform in Osceola Fund I, the firm’s flagship institutional fund.
As part of this partnership, Revelation and Osceola will seek to acquire and grow a national partnership of 503A compounding pharmacies. The one-size fits all formula of mass-produced medications does not fit the customized needs of every patient. Compounding pharmacies prepare high quality custom prescriptions to address the exact clinical need and often improve quality of life for patients. The corporate team for Revelation will be led by Richard Case, a healthcare M&A industry veteran, with significant experience in acquisitions of lower middle-market healthcare services businesses that operate in highly regulated industries. Areas of focus for Revelation include product expertise in Hormone Replacement Therapy (“HRT”), Integrative Health, Anti-Infectives, Analgesics, Veterinary, and numerous other therapeutic classes.
Founded in 2003 by Chris Schulte, Everwell serves patients throughout Florida and the Southeast. Everwell has a special focus in anti-infectives as well as specialty pharmacy and other general compounding preparations.
Mr. Beckel has deep experience in the compounding space, most recently as founder and CEO of AnazaoHealth Corporation, a leading compounding pharmacy which successfully completed 13 acquisitions and ultimately was acquired by Fagron NV, the world’s largest publicly traded compounding company. Over more than 30 years in the compounding industry, Mr. Beckel has developed a reputation as a leader in the compounding industry. He has served as Chairman of the International Journal for Pharmaceutical Compounding since 1997 and remains active in the American Pharmaceutical Association, Alliance for Pharmacy Compounding (APC), and the Florida Pharmacy Association.
Mr. Beckel said, “The 503A pharmacy compounding segment has been historically fragmented and presents a unique opportunity for consolidation. Cost of compliance is increasing, making it difficult for smaller service providers to operate efficiently. Our vision is to bring together many high quality compounders and build a best in class 503A compounding business that has a strong culture of collaboration, compliance, and innovation.”
Ben Moe, Managing Partner at Osceola said, “Osceola has had a long-standing relationship with Jacob Beckel and we are excited to have the opportunity to formally partner with him and the Revelation Pharma team on this investment. We believe there are significant organic and M&A opportunities for growth in this segment.”
McGuireWoods and Reed Smith acted as legal counsel to Osceola.
About Osceola Capital Management
Osceola Capital is a Tampa-based private equity firm that invests in lower middle-market services companies, typically with EBITDA of $2 million to $10 million. Osceola has extensive experience partnering with management teams to execute buy-and-build strategies and drive long-term value creation. To learn more, visit www.osceola.com.