MBF Healthcare Acquisition Corp
MBF Healthcare Acquisition — SPAC Merger (March 2008)
26 slides from MBF Healthcare Acquisition's SPAC merger presentation, Mar 17, 2008
Slide 1: Acquisition of Critical Homecare Solutions
DRAFT CONFIDENTIAL MBF Healthcare Acquisition Corp. Acquisition of Critical Homecare Solutions March 18, 2008 Healthcare Acquisition Corp.
Slide 2: Forward Looking Statements
Forward Looking Statements This conference call may include statements regarding anticipated and future developments that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those contained in forward-
Slide 3: Agenda
Agenda Overview of Critical Homecare Solutions Financial Overview Summary Questions & Answers Healthcare Acquisition Corp.
Slide 4: I. Overview of Critical Homecare Solutions
I. Overview of Critical Homecare Solutions
Slide 5: CHS Investment Considerations
CHS Investment Considerations Healthcare Acquisition Corp. CHS was founded in 2006 by 5 senior homecare executives with over 100 years of combined healthcare experience CHS has experienced phenomenal growth from its inception with PF revenue in 2006 of $52m to $203.9m in 2007 CHS has experienced a s
Slide 6: Overview of Critical Homecare Solutions
Overview of Critical Homecare Solutions Operates two business segments: home infusion (70% of PF 2007 revenue) and home nursing (30% of PF 2007 revenue) Services over 16,000 patients through approximately 450 payor relationships Operates 65 branch locations primarily in the Eastern United States Uti
Slide 7: Evolution of Critical Homecare Solutions
Evolution of Critical Homecare Solutions Founded in August 2006, CHS has become one of the largest home infusion players by acquiring leading companies in the home infusion space Incorporated in Delaware on August 8, 2006 Started operations with the acquisitions of Specialty Pharma and New England H
Slide 8: Significant Geographic Footprint
Significant Geographic Footprint Through a series of acquisitions, CHS has established significant scale and a leading presence in the attractive Northeast and Southeast markets Current Locations Acquisitions * * * * Healthcare Acquisition Corp.
Slide 9: Home Infusion Market
Home Infusion Market CHS is one of the 4 largest home infusion providers in a highly fragmented space Industry Dynamics Highly Fragmented Market2 Consolidation opportunity Scarcity of infusion platform with scale The top 3 IV industry providers have been recently acquired Option Care / Walgreens Cor
Slide 10: Attractive Payor Mix
Attractive Payor Mix CHS has an attractive payor mix with approximately 450 payor contracts Consolidated Payor Mix Home Infusion Payor Mix Managed Care 0.48 Medicare 0.31 Medicaid 0.21 CHS has relationships with approximately 450 payors, including insurers, managed care organizations and government
Slide 11: Market Opportunities
Market Opportunities Why is the infusion industry the right fit? Fragmented industry (75%) Consolidation opportunity Favorable industry organic growth rates 6-7% annually Favorable, diversified payor mix Medicare (14% of IV mix) Managed care (72% of IV mix) Medicare infusion drug coverage opportunit
Slide 12: Organic Growth Strategy
Organic Growth Strategy Focus on High Value Infusion Therapies Anti-infective Therapy, Total Parenteral Nutrition, and Enteral Nutrition (Tier I) 51% of IV business comprised of these three therapies Continued improvement and focus on the Tier I therapy mix Market share gains achieved at the local l
Slide 13: Acquisition Growth Strategy
Acquisition Growth Strategy CHS plans to continue to implement its highly successful business strategy that emphasizes acquisition growth Healthcare Acquisition Corp. Consistently apply disciplined approach to each opportunity Acquire leading independent home infusion providers in contiguous and oth
Slide 14: Highlights of Acquisition Capabilities
Highlights of Acquisition Capabilities Deal sourcing Overall industry contacts, knowledge of competitive landscape and premier providers, known as a preferred industry consolidator 4 of first 8 deals, CHS was only buyer Acquisition criteria Location Product and payor mix Size Local management Qualit
Slide 15: Attractive Expansion Opportunities
Attractive Expansion Opportunities Existing Presence CHS plans to continue to target acquisitions of leading home infusion providers that are located in attractive markets adjacent to its existing businesses Existing presence Growth areas Existing presence with expansion opportunities Healthcare Acq
Slide 16: Current Acquisition Pipeline
Current Acquisition Pipeline The Company maintains a deep pipeline of attractive acquisitions opportunities to drive its goal of closing four to six deals per year Healthcare Acquisition Corp.
Slide 17: CHS Executive Management Team
CHS Executive Management Team Members 15 51 210 79 110 243 137 158 247 120 120 120 170 170 170 200 200 200 Healthcare Acquisition Corp.
Slide 18: II. Financial Overview
II. Financial Overview
Slide 19: Strong Financial Performance
Strong Financial Performance CHS has achieved strong growth and profitability through the successful implementation of its business strategy Pro Forma Revenue1 ($ millions) Pro Forma Pre-Corporate EBITDA1,2,3 ($ millions) Pro forma for all acquisitions completed to date Excludes $0.4 million and $4.
Slide 20: Strong Operating Performance: EBITDA Margin
EBITDA Margin Strong Operating Performance Notes: 1 Twelve months ended 12/31/07; post-corporate EBITDA 2 Six months ended 06/30/07 3 Apria purchased Coram for ~$350 million, approximately 0.7x Coram's 2007E revenue and 15.5x its run-rate EBITDA without synergies; Wall Street Research 4 Management p
Slide 21: Financial Summary
Financial Summary 1 The pro forma income statements reflect each acquisition as if it had been completed as of January 1, 2005. Pro forma adjustments have been determined in accordance with the definition provided by the Company's first and second lien secured creditors, which may not conform to the
Slide 22: Estimated Sources and Uses
Estimated Sources and Uses $ in millions Source: Company filings and Company Management Note: Estimated sources and uses as of February 7, 2008. Assumes 100% of shareholders approve the transaction. Estimated SPAC equity excludes unrestricted cash on the balance sheet at close Healthcare Acquisition
Slide 23: III. Summary
Ill. Surmmary
Slide 24: Investment Highlights
Investment Highlights Healthcare Acquisition Corp.
Slide 25: IV. Questions & Answers
IV. Questions & Answers
Slide 26: Additional Information & Participants in Solicitation
Additional Information & Participants in Solicitation Additional Information and Where to Find It MBH expects to file a preliminary proxy statement concerning the proposed transaction, which will be subject to review by the Securities and Exchange Commission. MBH stockholders and other interested pe
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