LOS ANGELES, CA (November 7, 2006) – Platinum Equity announced today it has signed a definitive agreement to acquire the Healthcare Marketing Services (HMS) unit of Cardinal Health (NYSE: CAH). Terms of the transaction, which is expected to close prior to the end of 2006, were not disclosed.
HMS provides sales and marketing communications services and materials to the pharmaceutical and biotechnology industries. The company, which generated close to $200 million in revenue in 2005, delivers promotional and strategic communications, certified education and event data management services, and contract sales services to some of the world’s largest pharmaceutical and biotechnology companies. It has approximately 850 employees and offices in California, Illinois, New Jersey, Ohio and Virginia.
Platinum Equity intends to establish HMS as a standalone business and grow market share both organically and through potential complementary acquisitions.
“HMS provides vital services in a rapidly growing market, and has strong relationships with major pharmaceutical and biotech customers,” said Matt Young, principal lead on Platinum Equity’s transaction team. “We believe that’s a very solid platform for future growth.”
About Platinum Equity
Platinum Equity (www.platinumequity.com) is a global M&A&O® firm specializing in the merger, acquisition and operation of companies that provide services and solutions to customers in a broad range of business markets, including information technology, telecommunications, logistics, manufacturing, and entertainment distribution. Since its founding in 1995 by Tom Gores, Platinum Equity has acquired more than 65 businesses with more than $15.5 billion in aggregate annual revenue.