Chicago-based private equity firm Madison Dearborn Partners LLC will acquire a 25% stake in Boston-based Sevita Health, according to a report from Axios Pro.
If the deal goes through Madison Dearborn Partners will join New York City-based Centerbridge Partners LP and Chicago-based Vistria Group LP as investors.
Sevita, formerly The Mentor Network, provides community-based and in-home care services for people with intellectual and developmental disabilities (I/DD).
Axios Pro reports that Madison Dearborn Partners’ investment comes with a $3 billion valuation for Sevita and the company reportedly had $300 million of EBITDA in 2021.
PEHub.com reported in October that the two existing PE owners of Sevita were looking to sell a stake in the company.
Sevita, incorporated as National Mentor Holdings Inc., employs 40,000 team members in 40 states and serves upwards of 50,000 people. It changed its name to Sevita Health in September, the company was previously known as The Mentors Network.
Behavioral Health Business reported in September that Sevita acquired four companies that provide community-based services in several states.
Also in October, Sevita announced that it acquired multiple supportive living and day center services from Chicago-based Help at Home but didn’t specify the cost of the deal or precisely how many business units joined Sevita. Help at Home entities are based in Alabama, Georgia, Illinois, Indiana, Kentucky, Mississippi and Missouri.
The acquisitions were finalized on Oct. 25. Before the deal with Sevita, Help at Home operated in-home and community-based care in 13 states and employed nearly 30,000 caregivers.