The year isn’t over, and the Rehabilitation sector has already equaled last year’s deal total. Thirty-three deals have been made public through November 11, 2016, compared with 33 in all of 2015.
Spending is a bit lower at this point in 2016, at $623 million, down 21% compared with last year’s annual total of $799 million. That may change, depending on the number of deals that disclose prices between now and the end of the year.
Four private equity firms have made acquisitions in this sector in 2016. Even though no price was disclosed, the largest was probably from Advent International, which acquired ATI Physical Therapy, a platform company based in Bolingbrook, Illinois. ATI itself made four announced acquisitions in 2016, and now operates more than 600 clinics in 24 states.
Eight portfolio companies made acquisitions, none busier than Professional Physical Therapy in Uniondale, New York. ProPT, as it is known, is a portfolio company of Great Point Partners, which backed seven transactions so far this year.
The only deal announced so far in November came from Phoenix Rehabilitation and Health Services, a portfolio company of Three Rivers Capital, operates through a network of 61 outpatient physical therapy centers in Pennsylvania. The company acquired the Advanced Center for Physical Therapy, which is owned and directed by physical therapists through two clinics in Charlottesville and Greene County, Virginia. This is Phoenix’ first deal in Virginia.
Phoenix also moved into Delaware in August, with its acquisition of The Physical Therapy Connection in Wilmington. Financial terms weren’t disclosed in those deals.