Behavioral Health Dealmaking to See More Venture Capital Investment in 2024

While behavioral health dealmaking remained slow in the last quarter of 2023, seed and venture deals became a more active part of the space. That’s according to Mertz Taggert’s Q4 2023 dealmaking report, which recorded 31 transactions in the fourth quarter of 2023–the least since 2020. Overall, there were 136 behavioral health deals in 2023, […]

Nonprofit Behavioral Health Operators The Nord Center, LCADA Way to Merge, Form $45M Organization

Behavioral health operators The Nord Center and The LCADA Way will merge, effective July 1, 2024.  The Lorain, Ohio-based nonprofits will form a $45 million organization that employs about 425 people and operates about a dozen locations, according to a news release. The move attempts to create a “no wrong door approach to behavioral health […]

Renovus Capital Partners Invests in ABA Provider Behavioral Framework

Applied behavioral analysis (ABA) provider Behavioral Framework received a new investment from private equity firm Renovus Capital Partners. Behavioral Framework plans to use the funds to professionalize and invest in its services as well as to onboard new leadership, CEO Kyle West told Behavioral Health Business. The company declined to share the specific amount of […]

Top Behavioral Health Trends for 2024

After a tumultuous 2023, 2024 may be a steadier year for the behavioral health industry. While behavioral health deals slipped in 2023, Behavioral Health Business expects M&A to pick up this year as interest rates fall and the economy stabilizes. Still, the M&A craze of 2021 is unlikely, and mega deals will be scarce. This […]

ARC Health Closes 2023 With 18th Merger

ARC Health closed out 2023 with an outpatient mental health acquisition, marking a two-year-long M&A blitz. On Dec. 29, the Independence, Ohio-based company acquired Exult Healthcare for an undisclosed amount. Exult operates several types of care at its two locations north of Dallas-Fort Worth, Texas. These include on-site medical treatment, medication-assisted treatment (MAT), transcranial magnetic […]

Digital Mental Health Startup Tava Health Lands $16M 

Virtual mental health company Tava Health recently secured $16 million in fundraising, according to SEC filings. The company is seeking another $4 million to button up the funding round.  Salt Lake City, Utah-based Tava partners with employers to provide virtual, evidence-based mental health care to employees. Tava has worked with companies including Chatbooks, Lucid Software […]

Addiction Startup PursueCare Raises $20M, Acquires Pear Therapeutics’ Tech

Virtual substance use disorder (SUD) provider PursueCare netted $20 million in a series B fundraising round. The Middletown, Connecticut-based company also acquired three software-based digital therapeutics developed by Pear Therapeutics, which filed for bankruptcy in April 2023. Pear’s SUD–focused prescription digital therapeutic (PDT) reSET landed an FDA de novo in 2017. PursueCare previously offered digital […]

How Biden’s Anti-Competitive Merger Plan Could Impact Behavioral Health

The federal government could begin scrutinizing private equity-owned behavioral health practices. The Biden-Harris administration announced new initiatives to thwart anti-competitive mergers and practices that could increase health care costs for patients. Private equity firms, health insurers and health systems will be subject to additional surveillance to foster competition in the behavioral health sector.  Although still […]

Youth Therapy Startups Raise Millions – Clayful Gets $7M, Joon Care $6M

Clayful lands $7M, led by Reach Capital On-demand coaching company Clayful raised $7 million in a seed funding round after “quietly” partnering with over 50 schools nationwide. Education technology investor Reach Capital led the seed funding round. Other investors included the OVO Fund, Common Sense Growth Fund, Charter School Growth Fund’s Innovation Fund, and contributions […]

Behavioral Health Treatment Center Merges with B2B Telehealth Company, Lands $7M Round

Behavioral health companies Integrative Life Network LLC and Integrative Health Centers Inc. have merged, rebranding as Peregrine Health. The fusion of the two Nashville, Tennessee-based behavioral health companies creates a company with direct-to-consumer and business-to-business service lines. Each was founded and led by Ryan Chapman, who will lead the combined company as CEO, according to […]