A good number of behavioral health care deals have been announced in Decmeber 2019 and the majority of those target companies providing therapy services to individuals with autism and intellectual and developmental disabilities (I/DD).
Seven deals in the Behavioral Health Care sector are on the books mid-way through the month and five offer some form of applied behavior analysis (ABA) therapy or services. The two remaining deals target companies specializing in residential substance abuse treatment and inpatient addiction and eating disorders for teens.
Thomas H. Lee Partners announced the only deal to disclose a price. The firm paid $415 million (16.6x EBITDA) for Centria Healthcare, a portfolio company of Martis Capital and Lorient Capital. Based in Novi, Michigan, Centria is the leading ABA services provider in the state and also operates in Arizona, California, Indiana, Massachusetts, Minnesota, New Jersey, New Mexico, Oregon, Texas and Washington. It also provides pediatric nursing and catastrophic injury care.
Acorn Health, a portfolio company of MBF Healthcare Partners, added to its multi-state network of companies offering ABA therapy. Behavior Therapy Specialists, based in O’Fallon, Missouri, will serve as a regional platform in southern Illinois and northern Missouri, adding two more states to Acorn’s network. The target will become a wholly owned subsidiary of Acorn Health, which now has operations in Michigan, Florida, Virginia and Illinois.
New Mainstream Capital joined the fray with its acquisition of the Center for Social Dynamics, a California-based ABA services company, while Kadient, a California-based autism services provider sponsored by TPG Capital, acquired the ABA therapy business of Personal Assistance Services of Colorado.
Caregiver, a large regional provider of ABA therapy in Texas, Tennessee, Indiana and Ohio, acquired the Texas operations of Mosaic, a therapy specialist for I/DD individuals. Mosaic maintains operations in 10 other states.