By: Michael White
March 1, 2019 – West Dermatology Group, a private equity-backed chain of high-end clinics operating in Southern California, Nevada and Arizona, has hired an investment bank to explore a potential sale. West Dermatology was acquired by Enhanced Healthcare Partners in 2014 and operates three dozen dermatology centers generating ~$20 million in EBITDA.
March 13, 2019 – Dr. Dental Management, a Framingham, Massachusetts-based dental management services organization, has received an investment from Boston-based private equity firm Abry Partners. Dr. Dental is one of the largest dental management service organizations in New England, with 100 active dentists treating over 250,000 patients a year. Dr. Dental will use the capital infusion to expand organically by opening new locations as well as targeting strategic acquisitions of dental practices and groups throughout the Northeast.
March 19, 2019 – Peak Gastroenterology Associates, based in Colorado Springs, Colorado has engaged an investment bank to explore a sale. Peak Gastro operates seven gastroenterology clinics and 12 endoscopy centers in Colorado and employs 20 physicians.
March 21, 2019 – Digestive Health Associates of Texas, a privately-held gastroenterology practice is exploring a sale. Based in Dallas, Texas the practice generates ~$10 million in EBITDA and employs 80 physicians across 40 locations.
Gastroenterology has seen an uptick in M&A activity in recent months as financial sponsors pour into GI assets given the positive reimbursement environment and opportunities for diverse revenue streams. In November 2018, Texas Digestive Disease Consultants (“TDDC”) was acquired by Waud Capital to create The GI Alliance. TDCC was reported to have had more than $20 million in EBITDA and over 160 physicians, making it one of the largest GI assets in the market. Atlanta Gastroenterology Associates was acquired by Frazier Healthcare Partners to form United Digestive in January 2019.
March 25, 2019 – Private equity-backed Schweiger Dermatology Group announced that they have completed the acquisition of Dermatology & Skin Surgery Center, with locations in Exton, Coatesville and Kennett Square, PA to expand their footprint in the Philadelphia region.
March 26, 2019 – Pinnacle Dermatology, the Lombard, Illinois-based dermatology services company backed by Chicago Pacific Founders, has acquired Flint, Michigan-based Michigan Dermatology.
March 27, 2019 – Schweiger Dermatology Group, a New York City-based provider of medical and cosmetic dermatology services whose backers include LLR Partners, acquired Exton, Pennsylvania-based Dermatology & Skin Surgery Center.
April 1, 2019 – Arizona Digestive Health (ADH), a privately held gastroenterology physician group has engaged an investment bank to pursue a sale. The process is set to launch in April. ADH has EBITDA of ~$5-10 million. ADH is owned by 52 medical professionals, including 49 gastroenterologists and three pathologists. The group has 26 locations through Phoenix and central Arizona, 11 affiliated endoscopy centers and an anatomic pathology laboratory. Using proceeds from a sale, ADH will focus on expansion West of the Rockies.
April 5, 2019 – Ovation Fertility, a Los Angeles-based operator of nine fertility centers and labs throughout the United States is considering a sale. Ovation is a platform of assistive reproductive technology (“ART”) laboratories that affiliate with physician fertility clinics across the US to provide patient care in reproductive medicine. Ovation has been a portfolio company of private equity investors since June 2015.
April 5, 2019 – East Valley Gastroenterology and Hepatology Associates has teamed up with Arizona Gastrointestinal Associates in a continuing sale process. East Valley was originally being marketed on a stand-alone basis but has recently joined with Arizona Gastro in a combined sales process. East Valley has eight physicians and nine locations throughout Arizona, while Phoenix-based Arizona Gastrointestinal Associates has 13 physicians and seven locations throughout the state. The practices are being marketed with ~$10 million in EBITDA.
April 8, 2019 – Pinnacle Dermatology, a Lombard, Illinois-based dermatology services company is seeking to continue its expansion throughout the Midwest. Pinnacle currently has 28 locations and over 50 providers and aims to grow to ~50 sites with 95 providers on staff by year-end.
April 11, 2019 – Eye Health America, the Roswell, Georgia-based eye care practice management company that is backed by LLR Partners, has acquired Florence, South Carolina-based Carolinas Centers for Sight. Carolinas Centers for Sight employs seven physicians and operates in five offices in South Carolina.