Norwest Equity Partners Expands Consumer Healthcare Portfolio with Acquisition of Apothecary Products

Minneapolis, Minnesota – Norwest Equity Partners (NEP), a leading middle market investment firm, has announced that it has acquired Apothecary Products Incorporated (Apothecary or the Company), a leading innovator, manufacturer and distributor of consumer healthcare products and pharmacy supplies. NEP purchased the company from Terry Noble, Pharmacist, Founder and CEO of Apothecary. The transaction closed February 28, 2014; financial terms were not disclosed.

Founded in 1975, Apothecary is a privately-held company with hundreds of patents and thousands of SKUs selling pharmaceutical and consumer healthcare products to independent and chain pharmacies, food and mass retailers, and distributors and wholesalers worldwide.  Apothecary offers its customers a one-stop-shop solution with unmatched product breadth of both over-the-counter consumer health products and behind-the-counter pharmacy supplies, spanning across three categories, including pharmacy supply, medication management, and home healthcare.

Mr. Noble, stated, “I am very proud of the strong business our team has built and am excited about the future possibilities with our new investment partner.  NEP’s investment capital, coupled with their experience in the consumer healthcare products industry and working with family-owned businesses, will help Apothecary continue to achieve its growth plans and mission of designing and sourcing the most innovative and critical pharmacy products available.” Post-transaction, Mr. Noble will remain as an Apothecary investor.

Led by its medication compliance line of products, Apothecary is a category innovator and strong private label manufacturing partner to major retail customers. Medical compliance serves as a paramount component of the overall healthcare industry and has proven to directly lower healthcare costs.  Over recent years, research has shown that half of the prescriptions dispensed in the U.S. are not taken as prescribed, resulting in an increase in deaths, hospital admissions, and total healthcare costs.

Tim Kuehl, a NEP partner and Apothecary board member, stated, “On behalf of the NEP partnership, we are impressed with Apothecary’s solid reputation, long-term customer relationships, category leadership, and solid financial performance. Medical compliance is critical to enhancing healthcare outcomes while simultaneously lowering healthcare costs, both of which are central tenets of our healthcare investment strategy. We are excited to work with management toward further building Apothecary for the future.”

Jason Sondell, a NEP director and Apothecary board member, stated, “This investment fits nicely with NEP’s investment strategy of partnering with profitable and growing companies. The Company is led by a team of great people and offers products that add value for both consumers and pharmacy customers. Additionally, NEP takes pride in investing in local businesses; NEP and Apothecary complement each other well as we share Midwest roots and longevity in Minnesota.”

NEP has been investing in middle market companies since 1961 and has deep experience working with both Minnesota-based companies as well as companies focused within the consumer products and services industry. Notable Minnesota-based investments over the years include Life Time Fitness, Shock Doctor, Minnesota Rubber & Plastics, Gopher Resource, Norwesco, Select Comfort, and Lindstrom Metric.  More information on NEP and its investment history can be found on

Apothecary is headquartered in Burnsville, Minnesota, operates a manufacturing facility in St. Charles, Michigan, and has several strategic manufacturing partners in the U.S. and internationally. Please to learn more.

Additional financing was provided by GE Capital, BMO Capital Markets, Golub Capital and Norwest Mezzanine Partners. Greene Holcomb Fisher served as financial advisor to Apothecary on the transaction.