Edgemont Partners Advises J. Knipper and Company in its Majority Recapitalization by Court Square Capital Partners
Transaction highlights Edgemont’s commitment to long-term client relationships and proven expertise in pharmaceutical services and the pharmacy supply chain
NEW YORK, NY & LAKEWOOD, NJ – October 8, 2019 – Edgemont Partners, a leading middle market healthcare investment bank, is pleased to announce that it served as the exclusive financial advisor to J. Knipper and Company, Inc. and its affiliate KnippeRx, an independent specialty pharmacy (collectively “Knipper” or the “Company”) in its majority recapitalization by Court Square Capital Partners (“Court Square”). Knipper is a leading pharmaceutical services platform providing customized solutions and large-scale distribution programs to the broader life sciences industry.
The transaction closed on October 1, 2019 and was led by Jeff Swearingen, Co-Founder and Managing Director, supported by Chip Bierbaum, Managing Director and Head of Pharmacy Supply Chain Services, Patrick Bradley, Vice President, Taylor Grant, Associate, and Adam Dings, Analyst.
After 33 years of ownership, the Knipper family is selling its majority shares in the Company and will remain as a minority owner. The recapitalization of J. Knipper and Company and KnippeRx is designed to accelerate growth, enhance competitive positioning within the marketplace, and ensure the Company will continue to have a strong leadership team. Knipper will continue to focus on delivering excellent customer service to help improve patients’ lives and maintaining a strong culture and workplace for its employees. Court Square brings one of the most experienced teams in the industry to the investment, having completed more than 230 platform investments over a 40-year history, including several leading healthcare businesses such as AmeriSourceBergen (formerly Alco Health Services), Harvard Drug Group, National Distribution & Contracting, and others.
“I’ve worked with Edgemont as trusted advisors for almost 10 years as we have grown through a series of acquisitions and evaluated a range of strategic and financing options. I have valued Edgemont’s commitment to providing the right advice and their determination to find the right transaction for the Company,” said Jim Knipper, Founder, Owner and outgoing CEO of J. Knipper and Company.
“It was fantastic to work with Jeff, Chip, Patrick and the broader Edgemont team. Throughout the process they showed outstanding expertise and a commitment to keeping our goals as their number one priority—ultimately guiding us to a great partner and transaction. Importantly, Edgemont brought excellent sector expertise and displayed a deep understanding of our business along with the knowledge of where the life sciences industry is heading,” said Michael Laferrera, newly appointed Chief Executive Officer of Knipper.
“Edgemont has had the privilege of working with Jim, Mike, and the rest of the Knipper team for almost 10 years, serving as the Company’s advisor on three acquisitions that, when combined with Knipper’s existing, market-leading business, created tremendous value for the Company’s shareholders. The recapitalization transaction with Court Square is the culmination of Edgemont’s work in transforming the Knipper team’s vision into value,” said Jeff Swearingen.
Edgemont previously advised Knipper on the acquisition of the sample management business of inVentiv Health, the acquisition of Publicis’ Pharmagistics subsidiary, and the acquisition of the sample management business of MediMedia Health.
“It has been exciting to witness Knipper’s evolution from the nation’s largest provider of pharmaceutical samples management services into a holistic distribution, logistics and program pharmacy partner to the life sciences industry. Edgemont’s market leading domain and transaction expertise within the pharmaceutical supply chain was critical when it came to positioning Knipper’s core competencies in the context of industry trends that are driving investment and growth, and identifying the best investment partner for the Company,” added Chip Bierbaum.
About J. Knipper and Company, Inc.
Founded in 1986, J. Knipper and Company, Inc., provides the life sciences industry with solutions in marketing support, samples management, third-party logistics and customized specialty pharmacy solutions. Going beyond its roots as the largest sample distribution company in the U.S., the Company continues to offer innovative new solutions to meet the challenges of its blue-chip customer base.
The Company has invested considerably in its physical infrastructure and capabilities to diversify its offerings beyond its already industry-leading samples management services, maintaining nearly 600,000 square feet of facilities, including significant cold storage capacity for temperature sensitive products and controlled substances, along with the rapidly growing specialty pharmacy and third-party logistics businesses. For more information, visit www.knipper.com.
About Court Square Capital Partners
Court Square is a middle market private equity firm with one of the most experienced investment teams in the industry. Since 1979, the team has completed over 230 investments, including several landmark transactions, and has developed numerous businesses into leaders in their respective markets. Court Square invests in companies that have compelling growth potential within the business services, general industrial, healthcare, and technology and telecommunications sectors. The firm has $6.6 billion of assets under management and is based in New York, N.Y. For more information on Court Square, please visit www.courtsquare.com.
About Edgemont Partners
Edgemont Partners is a premier investment bank that provides merger and acquisition advisory
and growth capital raising services exclusively to healthcare companies. We focus solely on
providing expert strategic advice and transaction execution, bringing a steadfast commitment to our clients, driven always by what’s in their best interest. This dedication enables us to deliver independent conflict-free advice, to serve as trusted advisors to healthcare entrepreneurs, management teams and investors, and to execute with exceptional results.
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Investment banking services are provided by Edgemont Capital Partners, LP, a registered broker-dealer and member of FINRA and SIPC.