Sentinel Capital Partners sells WellSpring Pharma Services

Successfully Completes Third and Final Divestiture of WellSpring Platform

NEW YORK, August 6, 2018 – Sentinel Capital Partners, a private equity firm that invests in promising companies in the lower midmarket, today announced the sale of WellSpring Pharma Services, a leading North American pharmaceutical contract manufacturing organization. Terms of the deal were not disclosed.

WellSpring Pharma Services provides outsourced manufacturing and contract development services to emerging-growth, mid-sized, and large pharmaceutical and biotechnology clients in the US and Canada. WellSpring has particular strength working with clients that need flexibility, customization, personalized attention, and technical expertise. WellSpring is equipped to manufacture prescription drug products in virtually all non-sterile finished dosage forms and also provides primary and secondary packaging services. WellSpring also offers formulation, tech transfer, and analytical chemistry services to its clients.

"Trends in the pharmaceutical industry have continued to drive demand for WellSpring's manufacturing services," said John Van Sickle, a Sentinel partner. "WellSpring addresses this demand with an industry-recognized commitment to quality and regulatory compliance."

At the outset of Sentinel's 2011 investment, WellSpring consisted of three divisions: a consumer portfolio of over-the-counter health and personal care products; a portfolio of specialty prescription drugs; and a contract manufacturer of pharmaceutical products. Under Sentinel's ownership, WellSpring sharpened its focus by divesting its specialty Rx portfolio and bolstering the market position of its consumer healthcare portfolio with three OTC add-ons. WellSpring then sold its consumer healthcare business in 2017. The sale of WellSpring Pharma Services completes Sentinel's final exit from its original WellSpring investment.

The past year has been highly productive for Sentinel. Besides the sale of WellSpring Pharma Services, Sentinel also completed three other exits—Huddle House, a leading regional franchisor of family dining restaurants in the Southeast; Playcore, the leading North American designer, supplier of play, park, and recreation products; and WellSpring Consumer Healthcare, a portfolio of high-performing OTC healthcare brands. In the same time period, Sentinel made five new platform investments—Captain D's, a leading franchisor and operator of seafood quick service restaurants; GSM Outdoors, a leading provider of technologically-advanced, branded accessories for the hunting, sport shooting, and outdoor enthusiast markets; MB2 Dental Solutions, a rapidly-growing regional dental service organization with a unique physician-centric ownership model; Nekoosa, a leading manufacturer of specialty paper and film products used in the graphics and commercial print markets; and UBEO, a leading provider of document processing services in Texas.