Norwest Equity Partners Completes Sale of Pentec Health to Wellspring Capital Management
October 12, 2021
Minneapolis, MN and West Palm Beach, FL, October 12, 2021 – Norwest Equity Partners (NEP), a leading middle market equity investment firm, announced today that it has sold its portfolio company, Pentec Health, a leading national provider of specialty infusion services to patients who require access to complex pharmaceutical products and services outside of the hospital setting, to Wellspring Capital Management.
As a nationwide leader in patient-specific sterile compounding, Pentec Health has built a tradition of exceptional patient care by committing to quality, safety, and innovation. Its Joint Commission accredited pharmacy comprises two primary divisions, Renal and Targeted Drug Delivery (TDD). Pentec’s Renal division delivers proprietary and patent-pending therapies which are designed specifically to address protein malnutrition in patients suffering from End Stage Renal Disease. Pentec’s TDD division provides specialized in-home care and 24-hour support services 365 days a year to patients using intrathecal pumps to address severe spasticity and intractable acute or chronic pain.
NEP served as the lead investor in a recapitalization of Pentec in 2012. Importantly, NEP’s investment in Pentec included continued investment participation and support from DW Healthcare Partners and Frazier Healthcare Partners. Norwest Mezzanine Partners (NMP) provided mezzanine financing for the investment.
Joseph Cosgrove, Chairman, President, and CEO of Pentec Health, commented, “For the last nine years, we have had the opportunity to work alongside our majority investors at NEP and NMP. We are indebted to the NEP/NMP team who have created an enormous amount of value serving as board members and strategic advisors for Pentec Health. I wish my former investment partners the best of continued success in their future endeavors.”
Tim Kuehl, NEP Partner, stated, “We have greatly admired Pentec’s strong leadership and approach of mission-based clinical care, nursing, operational excellence and innovation. These qualities shine through industry awards and routine recognition as a “Best Places to Work” company. Pentec has grown into a true market leader that is well-positioned for continued growth with Wellspring.”
Houlihan Lokey advised Pentec on the transaction. Morgan Lewis served as lead legal advisor and PwC provided transaction advisory services to Pentec.
Pentec is headquartered in Boothwyn, PA with nearly 600 employees.
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