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Envision Pharmaceutical Services

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PE-OWNED

Pharmacy benefit management company.

PE-OWNED

Acquired by TPG Capital2015-06-01

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What Made It Great

Managing prescription drug benefits to control costs.

What PE Will Likely Do

Envision Pharmaceutical Services will see a rise in prescription drug costs for consumers as the company takes on more debt and seeks to maximize profits through dividend recapitalization

HIGH LIKELIHOODBased on: TPG Capital's history of aggressive cost-cutting and debt loading in acquired companies

Consumers may experience longer wait times and more administrative hurdles when trying to access their prescriptions as the company focuses on cost-cutting measures like staff reductions

HIGH LIKELIHOODBased on: Industry playbook trends showing common PE tactics like dividend recapitalization and deferred maintenance in the pharmacy benefits management sector

The quality and reliability of Envision's pharmacy benefits management services may decline as the company defers maintenance and upgrades to its technology and infrastructure

HIGH LIKELIHOODBased on: Similar past cases of PE-owned companies in the healthcare/pharmacy space, like the bankruptcies of Vice Media and True Religion, leading to reduced service quality for consumers

Expected Timeline

0-6 monthsCompleted

0 to 6 months months

Announcements about 'streamlining operations' and 'improving efficiency'

6-12 monthsYOU ARE HERE

6 to 12 months months

First round of staff reductions announced, some IT system upgrades delayed

12-24 months

12 to 24 months months

Noticeable increase in prescription processing times and consumer complaints, limited access to certain drugs

24-48 months

24 to 48 months months

Significant increase in prescription costs for consumers, more reports of service disruptions and technical issues

48-60 months

48 to 60 months months

Potential for Envision to file for bankruptcy or be sold off as its ability to effectively manage pharmacy benefits declines

What You Can Do

Actions

  • Closely monitor any changes to your prescription drug coverage and costs, and be prepared to advocate for yourself if you experience disruptions or quality declines in Envision's services

  • Stay informed about Envision's financial situation and any potential changes in ownership or leadership, as this could impact the stability and reliability of your pharmacy benefits

  • Consider exploring alternative pharmacy benefit providers or programs that may be less affected by PE ownership and cost-cutting measures

Alternatives

Research independent alternativesSAFE

Look for family-owned or employee-owned businesses

Share this company's PE status

"Envision Pharmaceutical Services is now PE-owned. Here's what that means for you."