NexPhase Capital has acquired behavioral health enablement platform Empower Community Care.

The transaction is yet another example of private equity’s interest in the behavioral health space, including in the provider-adjacent space. As the behavioral health industry has grown, consolidated and become more sophisticated, the demand for proven partner solutions with scale has likewise increased.

Terms of NexPhase Capital’s purchase of Empower were not disclosed. Northlane Capital Partners was Empower’s previous capital partner.

“Empower has established a differentiated, go-to platform for public and nonprofit systems seeking proven, cost-effective alternatives to institutional care,” Joel Killion, partner at NexPhase, said in a press release. “The company’s unique model – rooted in deep clinical validation, scalable technology, and a mission-driven culture and team – has enabled the business to consistently deliver strong outcomes at scale.”

The Atlanta-based Empower Community Care offers behavioral health, child welfare, justice and education programs to support youth, families and adults. The organization provides training, clinical services and software to public and private agencies in the U.S. and abroad.

Founded in 2016, the company has more than 120 employees who serve more than 2,000 customers across the U.S. and more than 35 countries, according to the press release.

“We are immensely proud of the outcomes our customers have achieved to date and are energized by the opportunity to deepen that impact even further,” Empower co-founder and CEO Josh Glade said in the release. “The NexPhase team understands the complexity of the behavioral health landscape and shares our commitment to scaling proven, community-based care.”

Meanwhile, NexPhase Capital is a New York-based lower‑middle‑market private equity firm that focuses on health care, software and other investments.

The firm has been particularly active in the behavioral health space, investing in and exiting several autism‑focused therapy providers, for instance. Earlier this year, NexPhase acquired Behavior Frontiers; its former investments include Action Behavior Centers, which it sold in 2022.

“This is a business that delivers tangible outcomes – for public systems, nonprofit partners, and most importantly, the families and individuals they serve,” Quint Carr, principal at NexPhase, said in the release.

There are several examples of transaction activity in the technology, vendor and, more broadly, provider-adjacent space in recent years.

In March, Roper Technologies Inc. (Nasdaq: ROP) announced buying CentralReach from Insight Partners for a net purchase price of about $1.65 billion.

Quartet Health was also acquired by NeuroFlow at the start of 2025.

Eugene Krichevsky, partner at Northlane Capital Partners, touted Empower’s growth in a separate press release from the firm.

“Since our investment in 2021, the company has enhanced its growth trajectory through service line expansion, strategic acquisitions and key personnel additions,” Krichevsky said. “We believe Empower is well-positioned for continued growth and wish the team success during this next chapter.”