HealthEdge Investment Partners Completes Acquisition of Dispensing Solutions

HealthEdge Investment Partners Completes Acquisition of Dispensing Solutions – Also Hires New CEO to Manage Business

  TAMPA, FL. – September 14, 2006 – HealthEdge Investment Partners, LLC, together with its affiliates (“HealthEdge”), announced today that it has completed its acquisition of DS Holdings, Inc. and its wholly-owned subsidiaries, including Dispensing Solutions, Inc. (“DSI”).

Located in Santa Ana, California, Dispensing Solutions is a nationally recognized provider of repackaged pharmaceuticals for the physician, government and private label markets. DSI has grown revenues at an annualized rate exceeding 30% during the last three years and has built strong service and production capabilities, which provide a platform for continued growth. Combined with HealthEdge partners’ experience and relationships in the pharmaceutical industry, the parties believe they can accelerate DSI’s growth both organically and through acquisitions.

In connection with the transaction, DSI has hired Guy Bryant as its Chief Executive Officer. Most recently, Mr. Bryant served as Executive Vice President of Priority Healthcare Corporation, a publicly traded company that was purchased by Express Scripts, Inc. (NASDAQ: ESRX) in the fall of 2005. During Mr. Bryant’s 10 year tenure at Priority, he was the senior executive of the distribution division, which grew from $100 million to over $1 billion in annual revenues as of the sale of the company. He also successfully led five acquisitions, and served as Chief Marketing Officer of the corporation for two years.

DSI co-founder Richard Wolpow, who will become vice chairman of DSI’s board at closing, is retaining his entire ownership position in the transaction. “The HealthEdge team has been very active in the pharmaceutical supply chain space and brings a wealth of knowledge to our business. Their strategic support, knowledge of this market and extensive contacts will help DSI continue its growth in a robust marketplace. The addition of Guy Bryant, who successfully led a billion dollar business, is another terrific building block for our company.” According to Mr. Bryant, “I am excited about working with HealthEdge and the DSI team to help the Company achieve its full potential. DSI’s high quality service ensures product integrity as well as patient convenience.”

About HealthEdge HealthEdge Investment Partners is an operating-oriented private equity firm founded in 2005 that focuses exclusively on the healthcare industry. HealthEdge seeks to achieve superior returns by investing in businesses that benefit from the knowledge, experience and network of relationships of its partners. HealthEdge’s partners have more than 100 years of combined oerating experience in healthcare, including as CEOs of such companies as Planvista, ProxyMed, National Medical Health Card, WellCare and Best Generics. For more information on HealthEdge, visit www.healthedgepartners.com.

For more information on HealthEdge, please contact: Brian W. Anderson, Managing Partner (813) 490-7102 Phillip S. Dingle, Managing Partner (813) 490-7101

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