Project Buckeye is a publicly-held, institutional pharmacy. The Company is a product of 62 acquisitions from 1987 through 1998. For the year 2001 the Company had operating results of ~$675 million in revenue and ~$55 million EBITDA. The Company was in default of $150 million senior debt and $115 million subordinated notes. Its market capitalization was less than $20 million. All of the original bondholders traded out, and the arbitrageurs were seeking recapitalization. Healthios led the Company's strategic evaluation, orchestrated the due diligence, developed a 5-year operating plan, assembled a new lending group, recruited a new CEO, and appointed a Board of Directors. In conjunction with portfolio partners, Healthios developed a "vertical tranche" financing strategy for subordinated notes, preferred, and common shareholders.
