CCMP Capital Advisors has entered into an agreement to acquire Eating Recovery Center (ERC), a provider of specialized treatment for individuals with eating disorders, from Lee Equity Partners which acquired the company from Trinity Hunt Partners in December 2012.
Eating Recovery Center (ERC) provides behavioral health and medical treatment services for eating disorders including anorexia, bulimia, binge eating disorder and other eating disorders. The company provides its services to female and male adults, adolescents and children, through inpatient, residential, partial hospitalization and outpatient programs. ERC has 25 centers across the United States and is headquartered in Denver (www.eatingrecoverycenter.com).
ERC’s Founding Partner and Chief Executive Officer, Dr. Ken Weiner, the management team and the clinical team will remain in place under CCMP ownership. “We are excited to partner with Dr. Weiner, a nationally recognized expert in the treatment of eating disorders, and his talented management team, to acquire Eating Recovery Center, which has become a market leader through its compassionate, expert-based care focused on strong clinical outcomes,” said Greg Brenneman, CCMP Executive Chairman and Managing Director.
CCMP makes buyout and growth equity investments of $100 million to $500 million in North America and European companies that have enterprise values of $250 million to $2 billion. Sectors of interest include consumer, industrial and healthcare. CCMP is headquartered in New York with additional offices in Houston and London (www.ccmpcapital.com).
“We greatly appreciate the efforts of ERC’s management team who demonstrated exceptional clinical and business acumen throughout our partnership,” said Lee Equity Partner Yoo Jin Kim. “Together with Dr. Weiner and the management team, we built a high performance, leading national brand with quadruple the facility footprint.”
Lee Equity Partners focuses on control buyouts and growth capital financings, typically investing $50 million to $100 million of equity per transaction. Target companies have enterprise values of $100 million to $500 million and are located in the United States. Sectors of interest include financial, healthcare and business services, consumer and media. The firm is based in New York (www.leeequity.com).
“Eating Recovery Center fit within our specialty clinical care investment thesis in behavioral health. We partnered with management due to its strong leadership, impeccable track record of clinical excellence, and leading regional market position which was poised for growth,” said Lee Equity Partner Geoff Lieberthal.
Antares Capital and Golub Capital are providing the financing. Moelis & Company is the financial advisor to ERC and Lee Equity Partners.
The transaction is expected to close by the end of September 2017.
© 2017 Private Equity Professional | August 30, 2017
