Southfield Capital has completed a dividend recapitalization of its portfolio company BioPharm Communications which it acquired in March 2012. The transaction returned half of BioPharm’s invested capital to its shareholders.
BioPharm develops promotional medical education programs for customers in the pharmaceutical and biotechnology industries. BioPharm’s delivery channels include targeted direct mail; e-mail; web hosting; web banners; mobile devices; and selling kits for sales specialists, convention distribution, dinner meetings, and teleconferences. BioPharm was founded in 2005 and is headquartered north of Philadelphia in New Hope, PA (www.biopharmcommunications.com).
“BioPharm has more than doubled in size organically over the last three years, and Southfield Capital has played an instrumental role in helping drive that growth,” said Jeff Persinger, CEO of BioPharm Communications. “The company’s ability to achieve this growth and generate substantial free cash flow allowed us to provide this liquidity event to our shareholders while leaving their ownership unchanged.”
“BioPharm Communications is an undisputed leader in the multichannel pharmaceutical marketing industry. The company offers a unique value proposition through its branded programs and expertise in creating and deploying content to healthcare practitioners,” said Heb James, Partner at Southfield Capital.
Southfield Capital provides capital for majority recapitalizations and management-led buyouts of lower middle-market businesses. The firm makes control investments of $10 million to $40 million of equity in transactions with $20 million to $100 million of enterprise value. Typical target companies will have from $5 million to $15 million of EBITDA. Sectors of interest include: business services; consumer products & services; distribution & fulfillment; energy; healthcare; media & entertainment; niche manufacturing; power & infrastructure; specialty finance; and specialty retail. Southfield Capital was founded in 2005 as the successor company to the private investment firm Levison & Company and is headquartered in Greenwich, CT (www.southfieldcapital.com).
2015 PEPD • Private Equity’s Leading News Magazine • 5-5-15