On December 8, ATI Physical Therapy, the country’s largest single-branded outpatient physical therapy provider, announced that it had acquired Auburn Physical Therapy for an undisclosed amount.
Founded in 1996, ATI Physical Therapy is a comprehensive orthopedic rehabilitation provider, specializing in research-based physical therapy, work conditioning, functional capacity evaluations, sports medicine, women’s health and employer worksite solutions. Based in the Chicago suburb of Bolingbrook, it operates 900 clinics (with 22 of those clinics under management service agreements) across Illinois.
Auburn Physical Therapy opened in 2003 in Auburn, Michigan, and later expanded to include four locations in nearby Bay City, Essexville, and Midland.
All four of Auburn’s locations were purchased in this deal, which increases ATI’s Michigan portfolio to more than 85 locations throughout the state. Although terms of the deal were not disclosed, it was reported that the Auburn physical therapy team will merge into ATI’s team.
This is ATI Physical Therapy’s third acquisition of the year. In November, it purchased Excel-R-Ation Physical Therapy in the Grand Rapids area of Michigan as well as Hope Rehab Katy, in Cinco Rancho, Texas. The company also went public in a de-SPAC transaction with Fortress Value Acquisition Corp. II valued at $2.5 billion. According to that deal announcement, ATI Physical Therapy reported an estimated $178.5 million EBITDA in 2020.
When compared to previous years, the Rehabilitation sector has had an incredibly busy 2021 with a whopping 81 different deals. 2020 saw only 22 deals and 2019 saw 36 deals, according to the LevinPro HC. Like other sectors, 2021 has been good for Rehabilitation and we expect this sector growth to continue on into the new year.
