Water Street Healthcare Partners, a private equity firm focused exclusively on healthcare, has acquired Medical Specialties Distributors.
Headquartered in Massachusetts, Medical Specialties Distributors is a provider of infusion products, supplies, biomedical services and technology solutions to the growing home infusion therapy market.
The acquisition expands Water Street’s current group of healthcare companies to 12.
With US demographics shifting toward an older population and an increasing number of people suffering from chronic conditions, the Centers for Medicare and Medicaid Services projects that home healthcare expenditures will reach more than USD90bn by 2014.
Medical Specialties Distributors supports a broad base of customers including specialty pharmacies and home infusion companies, such as Accredo Health Group, Coram Specialty Infusion Services and Walgreens Health Initiatives, as well as oncology clinics.
“MSD is uniquely positioned as the only national distributor that specializes in serving the needs of home infusion providers,” says Rob Womsley, partner, Water Street Healthcare Partners. “It has achieved steady growth by offering customers comprehensive solutions that support them with effectively managing and utilizing their products and supplies to ensure they meet their patients’ day-to-day needs. Our intention is to build on MSD’s strong foundation and technology leadership to expand its services to the increasing number of providers who are enabling people to receive drug therapy services at home.”
Jim Beck, president and chief executive of Medical Specialties Distributors, will continue to lead the company and its current management team.
“Water Street is the ideal partner to help MSD advance our services and capabilities to provide greater value to our customers in this growing market,” says Beck. “I have known its partners for many years and believe they have an unmatched level of expertise building and operating specialty distribution businesses. MSD will benefit tremendously from Water Street’s expertise and ideas for how we can expand our services to the growing number of infusion centres and oncology clinics that are treating patients in the home.”
