Falling Valuations, Less Competition Make Behavioral Health Deals ‘More Attractive’ to Investors

Despite the sky-high interest rates, this could be the prime time for behavioral health acquisitions.  The demand for services remains high and the elevated interest rates mean that valuations are coming back down to earth. While de novo growth strategies have dominated the behavioral health domain in 2023, some investors see this moment as an […]

7 Behavioral Health-Focused Private Equity Firms to Watch in 2023

The need for behavioral health services is at an all-time high – and private equity investors have taken note. In the first three quarters of 2022, private equity deals made up more than 60% of behavioral health transactions, according to data from The Braff Group. Many investors see the fragmented behavioral health industry as a […]

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, […]

Patient Square Capital to Purchase Summit BHC for Over $1 Billion

Approximately a month after news surfaced that Summit BHC was up for sale, a deal to buy the substance use disorder (SUD) treatment provider has been reached. Patient Square Capital, a Menlo Park, California-based health care investment firm, has agreed to buy Summit from FFL Partners and Lee Equity Partners. Terms of the deal, which […]

Lee Equity, FFL Partners Reportedly Exploring Sale of Summit BHC

The behavioral health and substance use disorder (SUD) treatment provider Summit BHC is reportedly up for auction. The private equity firms Lee Equity Partners and FFL Partners — which own controlling stakes in the Franklin, Tennessee-based company — are currently searching for a buyer, sources told PE Hub in a story published Thursday. Global investment […]

Transactions: Bain-Backed Broadstep Acquires Youth Treatment Provider; Summit BHC Expands in Virginia

Broadstep purchases youth-focused behavioral operator Raleigh, North Carolina-based Broadstep Behavioral Health — a provider of community and residential services to individuals with intellectual and developmental disabilities (IDD), as well as behavioral health conditions — has announced its acquisition of the South Carolina-based residential treatment provider Excalibur Youth Services. Terms of the deal were not disclosed. […]