Health Connect America, Inc. Acquires Three Businesses within the First Five Months of Palladium Ownership, Nearly Doubling the Revenue of the Company
Franklin, TN, January 6, 2022 – Health Connect America, Inc. (“Health Connect America” or the “Company”), a mission-driven behavioral health services platform, today announced that it has completed the acquisitions of three companies – Family and Children First, LLC (“Georgia HOPE”), Pinnacle Family Services Holdings, LLC (“Pinnacle”) and Healing Educational Alternatives for Deserving Students, LLC (“HEADS”). These acquisitions expand the reach and breadth of Health Connect America to serve more than 18,000 children and their families in seven states (Tennessee, Georgia, North Carolina, Virginia, Florida, Mississippi and Alabama). The consolidated operations establish the Company as a leader in the Southeastern United States with aggregate revenues in excess of $100 million.
Georgia HOPE, Pinnacle Family Services and HEADS all align with Health Connect America’s mission and outcomes-based strategy:
· Georgia HOPE is a Georgia-based home and community provider of mental health therapy, family preservation / reunification services and substance-use disorder treatment to children, adolescents and adults. This acquisition increases Health Connect America’s presence in Georgia,and we believe it will enable the Company to become a leading behavioral healthcare provider in the state.
· Pinnacle Family Services is a North Carolina-based provider of therapeutic foster care and home-based periodic behavioral health services to at-risk youths and their families. The acquisition of Pinnacle will extend Health Connect America into North Carolina and Florida, with a license to expand into South Carolina, and enable the Company to expand its therapeutic foster care program.
· HEADS, a Florida-based trauma focused provider to at risk children and families, further extends Health Connect America into Florida.
Kristi Shain, President and CEO of Health Connect America, said, “We are pleased to add Georgia HOPE, Pinnacle and HEADS to the Health Connect America family, each of which reinforces our mission-driven culture, while also expanding our existing services into new states. We look forward to working closely with the teams of each of these organizations to share best practices and innovation in the behavioral health market.”
Dean Holland, Chairman of Health Connect America, said, “These acquisitions bring a broad array of talented, like-minded industry leaders to an organization that is currently at the vanguard of behavioral health solutions in the region. I am excited to see what the collective team will make happen for the betterment of the thousands of clients and their families that the Company serves on a daily basis.”
Adam Shebitz, a Partner at Palladium Equity Partners, LLC (“Palladium”), which acquired Health Connect America in August 2021, said, “We are excited to support Kristi’s growth plan, by helping to execute on an aggressive M&A strategy and, in the process, nearly doubling the size of the Company within the first 5 months of our investment. Our partnership with Kristi and these three acquisitions continues Palladium’s decades-long commitment to investing in healthcare businesses, especially those serving our nation’s most vulnerable communities.” Health Connect America is Palladium’s seventh platform investment in the broader healthcare industry and these acquisitions bring the firm’s total investments in healthcare, including follow-on acquisitions, to 46 across its last four funds.
Financial terms were not disclosed.
About Health Connect America
Health Connect America is a multi-state behavioral health platform that treats a comprehensive mix of issues including conduct disorder, substance abuse, autism disorders and emotional disturbance. Health Connect America provides mental and behavioral health services to children, families, and adults across multiple states. Health Connect America is honored to be a part of the communities it serves and walk alongside its clients as they embark on a journey to self-improvement and more fulfilling lives. Health Connect America provides its services in your community, in your home, or in one of our multiple offices across several states. Its network of direct care professionals is readily available to meet the needs of our clients and their families in our communities.
The services Health Connect America provides are meant to fit into customers’ lives and can come in the form of one-on-one or family counseling, case management, autism services, or medication management for children, adults, and families. These services promote positive personal growth, develop healthy coping skills, preserve and repair relationships and natural support systems. Additional information may be found at www.healthconnectamerica.com.
About Palladium Equity Partners, LLC
Palladium is the oldest minority-owned private equity buyout firm in the industry with over $3 billion of assets under management. The firm seeks to acquire and grow companies in partnership with founders and experienced management teams by providing capital, strategic guidance and operational oversight. Since its founding in 1997, Palladium has invested over $3 billion of capital in 38 platform investments and 148 add-on acquisitions, realizing 22 of these platform investments. The firm focuses primarily on buyout equity investments in the range of $50 million to $150 million. The principals of the firm have meaningful experience in consumer, services, industrials, and healthcare businesses, with a special focus on companies they believe will benefit from the growth in the U.S. Hispanic population. Palladium is based in New York City. For more information, visit www.palladiumequity.com.
Media contact: Todd Fogarty or Jeffrey Taufield
Kekst CNC
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