KCAEP, an acquisition vehicle of San-Francisco based private equity firm KCA Partners, is a holding company for two separate subsidiaries including Apex-Carex Healthcare Products, a manufacturer and marketer of low-tech self-treated medical products, and Van's International Foods, a manufacturer and marketer of gourmet frozen waffles.

Caltius initially invested in the company in 2002 through its second fund.  Caltius' new $25 million investment refinanced some existing debt and financed the acquisition of Bed Buddy, a branded line of therapeutic hot/cold packs, by Apex-Carex.  Bed Buddy's patented, reusable hot/cold packs can be both micro-waved and frozen to quickly and effectively treat sore muscles, arthrities, headaches, and other pain.  The Bed Buddy products are an attractive strategic fit with Apex-Carex's product portfolio and have complementary sales channels.

In May 2007, the company was recapitalized and Caltius' notes were repaid.  Caltius continues to own an equity interest in KCAEP, LLC.