Trinity Hunt Partners has sold its stake in Eating Recovery Center. The buyer is Lee Equity Partners, which acquired the holding via a recap. Financial terms were not announced. Denver-based Eating Recovery provides treatment for anorexia, bulimia, EDNOS and binge eating disorder. William Blair & Co. advised Eating Recovery.
Trinity Hunt Partners (“THP”), a private equity firm focused on the middle-market, today announced the successful recapitalization of portfolio company Eating Recovery Center, an international center for eating disorders providing comprehensive treatment for anorexia, bulimia, EDNOS and binge eating disorder. Eating Recovery Center was successfully recapitalized by Lee Equity Partners, a New York-based private equity firm focused on growth capital investments in middle-market companies across a range of industries.
The transaction represents the successful completion of an investment by THP in 2010 that saw Eating Recovery Center grow from a single-facility acute care provider in Denver to a multi-state, multi-facility provider overseeing the treatment of acute and partial hospitalization of adult and adolescent patients from across the country. In partnership with THP, Eating Recovery Center executed a significant growth plan from 2010 to 2012 that included three new treatment facility developments and two strategic West Coast facility affiliations to significantly expand its spectrum of care and geographical reach. Since the initial transaction with THP in 2010, Eating Recovery Center has expanded its workforce from approximately 90 employees in Denver to over 300 across three states.
The management team of Eating Recovery Center will remain with the company to continue delivery of strategic oversight for its comprehensive treatment programs and support the organization’s position as the leading privately owned psychiatric hospital system exclusively focused on eating disorders.
“At Eating Recovery Center, we have always sought to partner with those who share our values and our culture, and who are committed to providing the highest quality eating disorders care,” said Kenneth L. Weiner, MD, FAED, CEDS, founding partner and chief executive officer of Eating Recovery Center. “Trinity Hunt was more than just a capital source, and their partnership and involvement played an instrumental role in shaping Eating Recovery Center into a leading national behavioral healthcare provider focused on the treatment of eating disorders through its vertically integrated model.”
According to Pete Stein, a partner with THP, Eating Recovery Center is well positioned to carry on its reputation for unmatched patient care under the leadership of Dr. Weiner and its new capital partner. “Dr. Weiner and the Eating Recovery Center management team have built an industry leading practice focused on clinical expertise and world-class facilities. Eating Recovery Center represents one of THP’s most successful partnerships to date, and we wish them continued success going forward.” Mr. Stein noted that since THP’s initial investment in 2010, Eating Recovery Center has more than tripled its revenues and quintupled its enterprise value.
Eating Recovery Center was a THP Fund III portfolio company, Mr. Stein and Hunter Peterson served on the board of Eating Recovery Center with Dr. Weiner and other experienced industry professionals.
William Blair & Company advised Eating Recovery Center and THP on the transaction.
Trinity Hunt Partners typically invests in established companies that are valued between $10 million to $150 million, where additional invested capital and operating resources can enhance growth. The firm considers investment opportunities across a diverse range of industries, including healthcare services, industrial products and services, and business services.
To learn more about THP’s partnership with Eating Recovery Center, contact Pete Stein at 214-777-6602 or [email protected]
About Trinity Hunt
Trinity Hunt is a private equity firm based in Dallas, Texas. The firm has earned a reputation for working closely with entrepreneurs and family-owned businesses to provide strategic, operational, and capital expertise to help take their companies to the next level. The Trinity Hunt team has successfully invested over $1.3 billion of equity capital in more than 50 platform companies spanning a diverse array of industries and economic cycles. Known for its high integrity, respectful partnerships, and straightforward approach, Trinity Hunt’s experience and financial resources help its client firms capitalize on available opportunities. For more information, visit www.trinityhunt.com.