Behavioral Health Players Likely to Place Bets on Smaller Deals, Outpatient Businesses in 2023

The current financial climate may mean fewer mega deals in behavioral health next year. But investors will likely continue to have a healthy appetite for smaller transactions, industry insiders believe. “I think that buyers will get more selective, but I think the demand is still [there],” Kevin Taggart, managing partner at Mertz Taggart, said during […]

‘The Sky Is the Limit’: What Sellers, Buyers Are Searching for in Addiction Treatment Deals

The growing demand for substance use disorder (SUD) services and the fragmented nature of the industry has made it prime for consolidation. Potential buyers prioritize reputation, quality and the ability to expand their geographical reach. Meanwhile, sellers want a transaction that keeps the integrity of their business intact, according to panelists at Behavioral Health Business’ […]

‘We’re Going to See More Opportunity’: Acadia Gears Up for Promising M&A, JV Landscapes

Mental health operator Acadia Healthcare (Nasdaq: ACHC) has leveraged joint ventures, M&A activity and comprehensive treatment center (CTC) growth to add 600 beds in 2022. The Franklin, Tennessee-based company is doubling down on its plan to open more CTCs for opioid use disorder treatment, in particular. In the third quarter, Acadia opened two new CTCs. […]

Mental Health Platform ARC Health Acquires Forward Counseling & Consulting

Outpatient mental health provider ARC Health has acquired Cumming, Georgia-based Focus Forward Counseling & Consulting Inc. The terms of the deal were not announced. Focus Forward Counseling operates two locations in the Atlanta area and offers pediatric counseling, LGBTQIA counseling, individual therapy, couples counseling, and marriage and family resources. Chicago-based private equity firm Thurston Group […]

PE Firm Lee Equity Partners Acquires Substance Use Disorder Provider Bradford Health

Middle-market private equity firm Lee Equity Partners has acquired substance use disorder provider Bradford Health. The terms of the deal were not disclosed.  The acquisition includes 40 substance abuse treatment and recovery centers in the Southeast U.S. Birmingham, Alabama-based Bradford Health was founded more than 40 years ago. It has centers in Alabama, Tennessee, Mississippi, […]

Digital Mental Health Investment Climbs to $700M in Q3

Digital mental health companies saw a slight increase in deals in the third quarter of 2022, after a disappointing first half of the year. In total, there were 72 deals in mental health tech in Q3 worth a total of $700 million, according to new data from CB Insights. That’s up from Q2, which had […]

ABA Provider Acorn Health Acquires 7 ABA Centers From Breakthrough Behavior

Autism therapy provider Acorn Health announced Tuesday that it has acquired seven applied behavior analysis (ABA) centers from Maitland, Florida-based Breakthrough Behavior. The Coral Gables, Florida-based in-home and facility-based autism provider continues to grow at a time when several of the largest operators in the autism treatment space are rationalizing their portfolios. The deal included […]

Dry Powder Plentiful for Behavioral Health Acquisitions, But Expect Caution and Strategic Deals in 2023

As the Federal Reserve continues to raise interest rates, many behavioral health stakeholders are tightening their belt on merger and acquisition deals. But for providers with cash, it could be a prime time to strike. “What we’re seeing when we are out talking about acquisitions is that people are dropping out quicker and they don’t […]

ARC Health Expands to DC and Minnesota Through Two Acquisitions

Behavioral health provider ARC Health has acquired outpatient mental health providers Relationship Therapy Center and The Ross Center. These new acquisitions will help ARC Health expand into the Mid-Atlantic region and suburban Minneapolis. This brings ARC Health’s deal total to four since its formation as a platform company. ARC Health is an Ohio-based outpatient mental […]

‘You’re Going to Have to Pay Up’: Why Emerging Market Dynamics Won’t Halt Behavioral Health M&A

Across behavioral health, dealmaking and investing in 2022 likely won’t reach the remarkable levels seen in 2021. Regardless, there are several reasons to expect that this year will continue to demonstrate that the investment and M&A markets are on the side of behavioral health providers, according to Dexter Braff, the president of the M&A firm […]