New Harbor Capital is a private-equity firm based in Chicago, while Partners Group is a private investment firm with its U.S. headquarters in Denver. Under the definitive purchase agreement, Partners will replace New Harbor as majority shareholder in the company.
“While we have achieved excellent results under New Harbor’s ownership, we are very excited to collaborate with Partners Group going forward,” Wedgewood CEO Marcy Bliss said in a prepared statement. “They are deeply experienced professionals who have extensive health care and animal health experience.
“A new board of directors will infuse fresh ideas and fresh capital to support our team to fully realize our goals. We have ambitious plans to continue to respond to veterinarians and the needs of their patients.”
Wedgewood employs more than 700 people in New Jersey and three other states, serving more than 66,000 veterinarians and 360,000 pet owners annually by making compounded medications for which there is no commercial alternative.
“Partners Group takes a thematic approach to investing, and Wedgewood Pharmacy’s model of caring for animal patients through the provision of specialty health care fits well within this framework,” Chris Russell, managing director with Partners Group, said in a statement. “We pursue resilient, growing businesses benefiting from transformative trends, including the elevated importance of pets in our families.
“We look forward to working with Wedgewood Pharmacy on building further value in the business on behalf of all its stakeholders.”
New Harbor has held its majority ownership stake since June 2016, during which time Wedgewood has more than doubled the physical size of its operations in New Jersey, acquired its largest independent competitor and more. The result is a near-tripling of revenue during that time frame.
“We sincerely enjoyed working with CEO Marcy Bliss and the entire Wedgewood team over the last five years,” Jocelyn Stanley, partner with New Harbor, said in a statement. “We greatly value their partnership and shared commitment to growth, excellence and collaboration. It has been a privilege supporting the company during this exciting growth phase, and we wish them great success moving forward.”
The transaction is expected to close in 2021, pending customary approvals and conditions. Financial terms were not disclosed.
Lincoln International LLC represented Wedgewood in the sale, while William Blair & Co. LLC, Reed Smith LLC and RSM International acted as advisers. Ropes & Gray LLP and KPMG International Ltd. advised Partners Group.