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Swander Pace Capital Finalizes Sale of Insight Pharmaceuticals for $750 Million

PBH

Swander Pace Capital (SPC), a leading private equity firm specializing in investments in consumer products companies, has finalized its sale of over-the-counter (OTC) products portfolio company Insight Pharmaceuticals (Insight) to Prestige Brands Holdings (NYSE: PBH) for $750 million. The sale of Insight represents the firm’s second successful platform investment in the OTC industry.

“Today’s sale is the culmination of a successful five-year partnership to build a world-class OTC company,” said Mo Stout, Managing Director at SPC. “During our ownership, Insight grew sales from approximately $80 million to more than $200 million. We want to thank the management team at Insight for all of their hard work in creating significant value for the company’s stakeholders.”

“We are extremely proud of our partnership with Swander Pace, which was essential in supporting our growth and providing industry best practices and new business opportunities,” said Gary Downing, CEO of Insight. “We look forward to the next phase in our development and would like to thank Swander Pace and its investment partner, the Ontario Teachers’ Pension Plan, for their tireless commitment and support over the past five years.”

Under the ownership of SPC and Teachers’, Insight expanded its product portfolio of OTC women’s health and personal care products, adding high-profile brands e.p.t®, the leading home pregnancy testing brand, and MONISTAT®, the No. 1 brand in the vaginal antifungal category. The Insight portfolio consists of nearly 30 OTC brands, and the company has become one of the most innovative and fastest-growing players in the category.

“Through focused brand development, cost improvements, and strategic acquisitions, we were able to grow the company’s sales by more than 150 percent and provide an exceptional return on investment for our investors,” said Corby Reese, Managing Director at SPC. “Our exit of Insight represents another successful execution of our consumer products investment strategy to attract and partner with world-class management teams, implement effective marketing strategies, and drive operating efficiencies.”

Kirkland & Ellis LLP served as legal adviser to SPC on the sale.

About Swander Pace Capital

Swander Pace Capital is a leading private equity firm specializing in investments in growth-oriented, middle-market consumer products companies in North America and the United Kingdom. Since its inception in 1996, Swander Pace Capital has applied its consumer products expertise pursuing a consistent strategy of acquiring or investing in consumer products companies with leading market positions in attractive, defensible niches. With staff in San Francisco, New Jersey, and Ontario (Toronto), Swander Pace Capital provides portfolio companies with a unique mix of financial and strategic consulting support to create long-term value. Swander Pace Capital has raised over $1.3 billion of equity capital through five private equity funds and has led successful investments in more than 40 consumer products companies with total revenues in excess of $2.0 billion. For more information, visit www.spcap.com.

About Ontario Teachers’ Pension Plan

With $140.8 billion in assets as of December 31, 2013, the Ontario Teachers' Pension Plan is the largest single-profession pension plan in Canada. An independent organization, it invests the pension fund's assets and administers the defined benefit pensions of 307,000 active and retired teachers in Ontario. For more information, visit www.otpp.com.

About Insight Pharmaceuticals

Insight Pharmaceuticals is a consumer products company whose strategy is to generate growth by acquiring brands with solid consumer equity that can be further developed through their merchandising and marketing expertise. The company strengthens its portfolio of brands by employing a variety of strategies, all with an in-depth understanding of the heritage of the brand and the needs of the consumer. Additional information about Insight Pharmaceuticals can be found at www.InsightPharma.com.



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