CLIENT:
Strategic Delivery Solutions (“SDS Rx” or the “Company”) is a healthcare focused supply chain solutions provider focused on the long-term care (“LTC”) the pharmacy market, specializing in the movement of pharmaceuticals from wholesale distributors to pharmacies and hospitals and from LTC pharmacies to facilities and patients.

SITUATION:
Founded in 2009, SDS Rx was initially designed to target the pharmaceutical distribution sector and offer pharmaceutical distributors, pharmacies, labs and healthcare systems a combination of proven process, enhanced technology, and a local delivery network on a national scale. Building on that model, the Company has achieved consistent revenue growth, establishing a national footprint while setting the local benchmark for delivery accuracy and establishing itself as the undisputed thought leader in last mile healthcare delivery and logistics. With fresh capital through its financial partnership with HCI Equity Partners (“HCI”) in 2018, SDS Rx is now well positioned to accelerate its growth through a disciplined acquisition strategy and explore expansion opportunities into new healthcare markets.

ENGAGEMENT:
G2 Capital Advisors, LLC (“G2”) served as the buy-side advisor to SDS Rx with respect to the Medical Delivery Services (“MDS”) acquisition. After serving as the Company’s financial advisor with HCI’s recapitalization of the business in 2018, G2 was a natural fit to support additional acquisition search activities within the healthcare logistics marketplace.

OUTCOME:
Like SDS Rx, MDS has an attractive, non-asset based business model, leveraging a broad network of independent contractors to deliver its freight. The acquisition of MDS brings SDS Rx into new geographies, builds density in existing geographies, and provides access to a new healthcare end market in radiopharmaceuticals.

CEO of SDS Rx, Drew Kronick said, “This acquisition is a perfect fit as we execute on our strategic growth initiative to grow complementary segments of the healthcare market. The radiopharmaceutical market is a large unique market that requires years of experience to service. MDS brings the people, the experience and the reputation which will allow us to continue to grow our market share in this important segment.”

Managing Partner of HCI, Doug McCormick said, “G2 brought invaluable industry connections and expertise that was critical to identifying the opportunity and achieving a successful outcome. We look forward to partnering with G2 to continue to execute on highly strategic M&A opportunities.”

“We are very excited for the future of MDS, as SDS Rx represents a unique acquirer, able to invest significantly in the organization and drive sustained long term growth” said Ben Wright, COO of G2. “We see significant opportunity for additional partnerships between SDS Rx and pharmaceutical logistics companies across the US.”

About G2 Capital Advisors (www.g2cap.com)
G2 Capital Advisors provides M&A, capital markets and restructuring advisory services to the middle market. We offer integrated, multi-product and sector-focused services by pairing highly experienced C-level executives with specialist investment bankers. We aspire to be the trusted advisor of choice to our clients including corporations and institutional investors.

About HCI Equity Partners
HCI Equity Partners (“HCI”) is a lower middle market private equity firm focused on partnering with family and founder owned manufacturing, service and distribution companies. HCI focuses on building solid partnerships with company owners and management teams to develop and execute their growth strategies.

About SDS-Rx
SDS Rx provides dedicated, flexible delivery solutions nationwide to long term care, specialty, infusion, as well as pharmaceutical distributors, labs and healthcare networks. Our industry-leading technology is seamlessly integrated with each unique customer in order to ensure compliance, accuracy, accountability and transparency.

About Medical Delivery Services
MDS was established in 1977 to services the radiopharmaceutical industry. Through superior Commitment, Service and Compliance, MDS is a nationwide specialized carrier for the legal and safe transport of radiopharmaceuticals for all major Nuclear Medicine manufacturers and shippers.

CONTACTS ON THIS DEAL:
Ben Wright, COO: T: 415.800.1258 E: [email protected]
Peter Reed, Vice President of Buy-side T: 617.918.7972 E: [email protected]
Andrew Keleher, Vice President: T: 617.918.7982 E: [email protected]
Matthew Ball, Associate: T: 617.918.7933 E: [email protected]

Media Relations Inquiries:
Jennifer Johnson, Vice President, Marketing
T: 978.204.8050 E: [email protected]