PE Wary of Serious Mental Illness Investment, But Venture Capital May Be Ready to Pounce

While private equity investors continue to look for new opportunities in behavioral health, there is one area that is still relatively uncharted: serious mental illness (SMI) care. Caring for the SMI population can be very challenging and requires a multipronged approach, as well as a robust patient engagement plan. Due to these challenges, SMI care […]

Avoiding Shiny New Toys, Achieving Operational Efficiency Critical for Outpatient Mental Health Companies

The behavioral health market has exploded since the COVID-19 pandemic. Investors and provider organizations have paid premiums to grow their behavioral health footprint. But, industry insiders warn that the outpatient behavioral health industry is a tough business. The success stories in the space will likely be the companies keeping their operations tight and demonstrating improved […]

Investors Foresee Cost of Care Attribution, Payer Landscape As Thorniest Issues for Behavioral Health Value-Based Care

Value-based care has been a buzzword for decades in behavioral health, but the bulk of providers have yet to make the leap from fee-for-service to a risk-bearing or even cost-savings model. This could be changing as payers begin to prioritize value-based care contracts. In turn, this could reshape dynamics between providers and their investor partners. […]

Why IOPs Might Be the Next Golden Egg for Mental Health Providers

Investment in mental health has exploded over the last five years. Still, there remains a large gap between inpatient care and outpatient treatment, which could be a business opportunity for providers looking to expand. Specifically, more and more providers are eyeing intensive outpatient programs (IOPs) to care for patients that need either a step down […]

Payer Interest Is Driving Behavioral Health Consolidation

Behavioral health consolidation will accelerate as payers deepen their involvement and increase their focus on the industry. The last decade or so — accelerated by the coronavirus pandemic — has seen an influx in capital and professionalization in the fragmented behavioral health industry. But as behavioral health becomes increasingly relevant in the wider health care […]