NexPhase Announces Sale of CPS Group Holdings, Inc.

NEW YORK, NY – MARCH 27, 2019

NexPhase Capital, LP (“NexPhase”), co-advisor to the Moelis Capital Partners (“MCP”) Opportunity Funds, announced the successful sale of CPS Group Holdings, Inc. (“Comprehensive Pharmacy Services”, “CPS” or the “Company”) to Frazier Healthcare Partners.

Founded nearly 50 years ago and employing over 2,500 clinical, regulatory and operational pharmacy professionals, CPS is one of the nation’s largest providers of pharmacy solutions to more than 700 hospitals and health system facilities across the United States and Puerto Rico. CPS helps hospital pharmacists tackle complex problems such as medication reconciliation, hyper-inflated drug costs, standardization, centralized distribution, regulatory and compliance, and 340B programs leading to increased quality, reduced admissions and lower costs.

“In partnership with NexPhase and MCP, CPS has grown its suite of services and solutions that empower our clients to help them achieve their goals across the continuum of care,” said Don Nickleson, Executive Chairman of Comprehensive Pharmacy Solutions. “I’m grateful for the work we’ve accomplished during our partnership and look forward to further growing our platform with Frazier Healthcare Partners,” added Nickleson.
“CPS has created a leading pharmaceutical platform through numerous successful investments in people, processes, infrastructure and acquisitions. It has been a pleasure partnering with the CPS team to advance our shared vision for the business. We wish them continued success under the Company’s new ownership,” said Andy Kieffer, Partner at NexPhase.

CPS marks the eighth exit by MCP since January of 2016, all of which were co-advised by NexPhase.

NexPhase is currently investing out of NexPhase Capital Fund III, LP with a thematic and operationally-focused approach to making control investments in lower middle market, growth-oriented companies across the healthcare, consumer and software and services sectors. Within healthcare, NexPhase has completed investments in the interventional pain management, autism, revenue cycle management, pharmacy services, non-medical home care and anesthesia sectors.

Harris Williams, William Blair and Houlihan Lokey advised CPS on the transaction, while Ropes & Gray served as legal counsel.