PE-Backed ARC Health Acquires Manhattan Psychology Group

Thurston Group-backed behavioral health provider ARC Health has acquired Manhattan Psychology Group.

Based in New York, Manhattan Psychology Group offers mental health care for children and adults. Its services include group programs for kids and parents, school support, and applied behavioral analysis (ABA), neuropsych testing, and autism evaluations.

Founded in 2011 by psychologists Josh Rosenthal and Niloo Dardashti, it has more than 200 providers, including clinical psychologists, neuropsychologists, psychotherapists, board-certified behavior analysts, and special education teachers.


“Our partnership with Josh and Niloo and the integration of MPG into the ARC Health family will not only expand the scope and depth of services offered but also reinforces a shared dedication to excellence in mental healthcare,” Vince Morra, ARC Health’s CEO, said in a statement.

Ohio-based ARC Health launched in 2021 when PE firm The Thurston Group acquired Advance Recovery Concepts and rebranded. Since then, it has completed over a dozen acquisitions.

ARC consolidates outpatient mental health space and expands access to care.


Part of ARC’s approach to M&A is keeping the new leadership when it acquires a company. This strategy ensures that patients get continuity in their care.

The Manhattan Psychology Group acquisition comes just weeks after ARC announced its acquisition of Atlanta-based GROW Therapy and Twin Cities, Minneapolis-based LynLake Centers for Well Being.

M&A advisory firm Mertz Taggart facilitated the deal.

While ARC has been one of the most active behavioral health acquirers of the year, overall M&A has been down in 2023.

There were 101 behavioral health M&A transactions in the first three quarters of the year, compared to 133 in the first three quarters of 2022, according to Mertz Taggart.

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