MCRC Buyback Spurs 250% Revenue Growth
Multispecialty clinical research site Metroplex Clinical Research Center (MCRC) reported last week that gross revenues have increased 250% since company executives re-assumed control in March 2007.
Radiant Research, a Seattle-based site management organization (SMO), acquired the company in 1999, but Radiant’s recent efforts to divest some of its smaller sites gave the previous physician owners an opportunity to purchase it back, said Chad Fragle, MCRC’s chief executive officer. Fragle wouldn’t provide specific numbers, but stated that the number of employees and ongoing trials have also increased, although not by as big a percentage.
Diana Anderson, president and chief executive officer of patient recruitment and retention provider D. Anderson & Company, partnered with MCRC medical directors to facilitate the repurchase. This ongoing partnership and the resulting buyback are at least indirectly responsible for MCRC’s recent success, Fragle said, because site physicians are more invested in the company’s success.
“We have a group of 10 rheumatologists that really help to support the clinical research process. We involve those physicians in the actual research perspective. I think having an ownership stake in it really makes a difference,” Fragle said.
MCRC’s physicians have also become more involved in phase I research in the last year, which has contributed to the Dallas-based site’s growth, Fragle stated.
“The fact that we did buy it back and kind of controlled our own destiny enabled us to make a foray into phase I, while we still have quite a few phase II, III, and IV studies,” Fragle said.
MCRC’s phase I projects will continue to increase, particularly in the area of musculoskeletal, Fragle predicted. “Musculoskeletal phase I has really increased just in the past six months, and we continue to get new trials coming our way. The physicians are very interested in it.”