RoundTable Healthcare Partners Completes Portfolio Company Add-On Acquisition
Acquisition to Broaden the Outsourcing Capabilities of Vesta, Inc
LAKE FOREST, IL, March 10, 2009 — RoundTable Healthcare Partners (“RoundTable”), an operating-oriented private equity firm focused exclusively on the healthcare industry, announced today that its portfolio company, Vesta Inc. (“Vesta”), a leading supplier of silicone medical products to the OEM medical device industry, has completed the acquisition of ExtruMed LLC (“ExtruMed”), a portfolio company of Inverness Graham Investments and Wedbush Capital Partners. ExtruMed is the largest independent manufacturer of precision thermoplastic tubing for diagnostic and therapeutic medical devices and procedures. RoundTable acquired a majority interest in Vesta in August 2007. The financial terms of the transaction and RoundTable’s investment were not disclosed.
“We are attracted to ExtruMed’s capabilities in high precision thermoplastic tubing extrusion and its strong reputation for quality and customer service,” said Joseph F. Damico, a Founding Partner of RoundTable and Chairman of the Board of Vesta. “Adding ExtruMed's capabilities in thermoplastics to Vesta's core competencies in silicone component manufacturing broadens the outsourcing capabilities we can provide to our customers.”
“We are excited about the combination of ExtruMed and Vesta,” said Phil Estes, Chief Executive Officer of Vesta. “The two businesses offer complementary services to our customers. I look forward to working with the ExtruMed management team and its employees to fulfill the combined company’s growth potential. We are also pleased to have the support of RoundTable to complete this acquisition and to show continued commitment to investing in Vesta’s future.”
Bill Ellerkamp, Chief Executive Officer of ExtruMed, added, “Vesta and RoundTable are ideal partners for ExtruMed and its employees. We are very excited to join the Vesta team, and we believe that RoundTable and Vesta will be able to enhance our market position through their operational, sales and marketing expertise as well as their relationships with medical device OEMs.”
As part of the transaction, RoundTable facilitated the successful completion of a new senior credit facility and a private placement of subordinated notes. The senior credit facility was led by GE Healthcare Financial Services. The PrivateBank and Trust Company, Libertyville Bank and Trust and National City (now part of PNC) also participated in the transaction. Vesta's senior subordinated notes were purchased by RoundTable Capital Partners, RoundTable's $200 million captive subordinated debt fund. RoundTable and certain shareholders of Vesta and ExtruMed made an equity investment in Vesta as part of the transaction.
About RoundTable Healthcare Partners
RoundTable Healthcare Partners, Lake Forest, IL, is an operating-oriented private equity firm focused exclusively on the healthcare industry. RoundTable partners with companies that can benefit from its extensive industry relationships and proven operating and transaction expertise. RoundTable has established a successful track record of working with owner/founders, family companies, management teams, entrepreneurs, and corporate partners who share a vision and believe in the value creation potential of its partnership model. RoundTable currently manages $1.1 billion in capital, including two equity funds totaling $900 million and a subordinated debt fund of $200 million. More information about RoundTable Healthcare Partners can be found at www.roundtablehp.com.
About Vesta Inc.
Vesta is a global manufacturing and support services company for the OEM medical device industry, providing silicone moldings, precision thermoplastic extruded tubing, assemblies, and secondary operations within ISO-certified facilities. Leveraging expertise in quality standards, product design, material selection and the supply chain, Vesta infuses value throughout every stage of the product life cycle. Vesta capitalizes on over 300 years of combined medical design engineering experience in clinical device applications including cardiology, neurosurgery, urology, wound care and bariatrics to help its customers succeed. Vesta conducts its research and development, prototyping and manufacturing operations out of facilities in Wisconsin and California.