News
NEWSPRING CAPITAL ANNOUNCES AN INVESTMENT IN CONTINUING CARE Rx, INC. IN CONJUNCTION WITH THOMA CRESSEY EQUITY PARTNERS
June 1, 2005
NewSpring Capital, a private equity family of funds, announced today that two of its funds, NewSpring Ventures and NewSpring Healthcare, have joined the Chicago-based private equity fund of Thoma Cressey Equity Partners in the recapitalization of Continuing Care Rx, Inc. (“CCRx”). CCRx, based in Harrisburg, Pennsylvania, was a subsidiary of PHI, a Pennsylvania-based 501(c)(3) not-for-profit organization which owns acute care hospitals, nursing homes, and assisted and independent living facilities. The transaction facilitated the spin out of CCRx from PHI.
CCRx is an institutional pharmacy company servicing over 10,500 long-term care beds in over 100 nursing facilities and approximately 25 correctional facilities across the Northeastern Region of the United States. CCRx, under the executive leadership of CEO Thomas Trite, provides medicine distribution, medical supplies, nutritional supplements, and pharmacological consulting services to long-term care and other selected institutional populations. Founded in 1996 by Thomas Trite, CCRx was owned by The Presbyterian Hospital System since 1998. As part of the transaction, Joseph A. Williamson will join the CCRx Board of Directors.
“We believe the recapitalization of CCRx by Thoma Cressey and NewSpring Capital will allow us to better compete for today’s long-term care customers as we continue to strive to provide the absolute best pharmacy services in the face of continuing pricing pressure,” said Trite. “I have found our partnership with Thoma Cressey to be invaluable and instrumental in moving to the next level, and now with the addition of New Spring Capital and Mr. Williamson’s experience and expertise in long-term care, we will take CCRx to an even higher level,” Trite added.
Joseph A. Williamson commented on the investment fundamentals stating, “This transaction has the key attributes that we seek in our investments: CCRx has a top-rate, proven management team led by Tom Trite; the institutional pharmacy business is large and growing along with the aging of America; and the Company has an expanding, loyal following of customers. We also have a terrific partner in Thoma Cressey, a very successful private equity organization with deep knowledge in healthcare.”
“Thoma Cressey and the Company are excited to have NewSpring Capital join our investment in CCRx. We look forward to working with NewSpring to help advance the Company’s already impressive record of growth and achievement.” stated Peter Ehrich, Partner.
About Thoma Cressey Equity Partners (“TCEP”) - Through its seven funds, TCEP has invested more than $2.0 billion in more than 80 transactions across a wide range of industries. With offices in Boston, Chicago and San Francisco, TCEP currently manages more than $1.0 billion in private equity capital. In addition to healthcare, the firm focuses on investments in business services, software and consumer-related businesses. Investors in TCEP funds include some of the leading government and corporate pension plans, financial institutions, university endowments and national foundations. More information about TCEP can be found at www.thomacressey.com.
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