Founded in 2006 Wellfount Pharmacy believed healthcare can be offered with higher quality and at lower cost, without compromise. Wellfount offeed a full range of medications and consulting services, directed toward a residents’ specific needs.
Wellfount’s pharmacy team was focused on helping clients achieve improved resident outcomes, reduced re-hospitalizations, lower medication waste, and reduced overall costs, allowing clients to administer the highest levels of care to patients.
Wellfount, based in Indianapolis, was an industry leader in automating medication dispensing in nursing homes. Wellfount used pharmacy systems designed by Talyst Partners and called TED Rx, short for Technology Enabled Dispensing. The automated system that made medications accessible 24/7 and monitored the medications used. Wellfount was also able to send ship new medications on a timely basis.
So why did the company abruptly close its doors at the end of March 2019? An answer could be that many competitors have been able to duplicate Wellfount’s approach over the years. Many vendors and customers (especially nursing homes) have had to scramble to receive their money or contract with other long-term pharmacy suppliers.
The company’s demise comes five years after Deerfield Management Company entered into a secured loan facility that provided Wellfount with $15 million in growth capital to help fund the continued roll-out of its innovative solution to a broader client base.
Overall, Deerfield’s objective with this financing was to strengthen Wellfount’s financial position with flexible, minimally dilutive capital that was offered to allow the company to meet growing client demand for implementing its solution in new facilities.
Wellfount provided pharmacy services to over 3,000 residents in eight states at the time with revenue of about $20 million and 150 employees, with a goal to double its revenue within a year or two.