PE-Backed PAX Health Acquires Harris Psychiatric Services

Private equity-backed behavioral health provider PAX Health has acquired Harris Psychiatry Services, a psychiatric care provider specializing in workers’ compensation. Financial terms of the deal were not disclosed.

PAX Health was formed in March 2024 by merging three behavioral health companies: Behavioral Medicine Associates (BMA), Workers Compensation Psychological Network (WCPN) and Reservoir Health.

The company plans to grow substantially, according to Anthony DeSena, CEO of PAX Health, and the Harris Psychiatry Services marks PAX Health’s first acquisition since the three companies merged.

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“We spent a lot of time integrating the companies operationally, and now that we feel comfortable [with] where that is, we can really start growing,” DeSena said at Behavioral Health Business’ INVEST event in 2024.

Great Neck, New York-based PAX Health offers hybrid psychiatry, psychology and medication management. PAX works with individuals, employers and other health care providers including health systems, primary care and OB/GYN providers. The provider is in-network with major insurance plans including Medicaid and Medicare and provides workers’ compensation services.

HCAP Partners and Hamilton Lane have invested in PAX Health.

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DeSena takes a “people first” approach to acquisitions. This includes ensuring cultural alignment and doling out more substantial employee benefits.

“It’s [finding] people who are excited to be part of the PAX mission and what we’re doing and build around that,” DeSena said. “We’re trying to build a brand and a culture where people want to work for PAX. They want to fly the flag, they want to wear the logo, and all those things.”

Geography is another key factor when considering a merger, according to DeSena. Harris Psychiatric Services is geographically close to PAX Health’s headquarters, operating in Smithtown, New York.

Harris Psychiatric Services is an outpatient psychiatric practice specializing in behavioral health conditions among patients recovering from workplace injuries and motor vehicle crashes.

Acquiring Harris Psychiatric Services expands Pax Health’s existent efforts to provide specialized behavioral health care to diverse patient populations.

“We are a large provider of psychiatric and psychological care in the workers comp space, which, if you know what you’re doing, is really good,” DeSena said. “If you don’t, it can be pretty detrimental. Luckily, we’re really good at it.”

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