Charterhouse Group Inc. of New York sold Camelot Schools‘ education services division to The Riverside Co. Financial terms were not disclosed. Camelot is an Austin, Texas-based provider of behavioral health and alternative education services.
Charterhouse Group, Inc. (“Charterhouse”), a New York-based private equity firm, announced today that it has completed the sale of the Education Services Division (“Camelot Education”) of Camelot to The Riverside Company in a divestiture transaction. Camelot is a leading provider of services to youth and adolescents in both the behavioral health and alternative education markets.
“This transaction reflects the execution of a well-defined buy-and-build strategy in an underserved and highly fragmented market,” said C. Taylor Cole, Jr., Managing Director at Charterhouse. “Along with its strong financial performance, Camelot Education has made a significant difference in the lives of many at-risk youth and adolescents. We are proud to have supported the Company through this period of growth and thank the entire management team for their dedication.”
Charterhouse’s partnership with Camelot’s management team, led by Chief Executive Officer John Harcourt and Senior Vice President of Education Services Todd Bock, began in early 2006 with an introduction by a Charterhouse Healthcare Services Entrepreneur. Since Charterhouse’s investment, Camelot Education has experienced rapid growth through increased enrollment in existing programs, the launching of several de novo programs and multiple strategic acquisitions.
“Charterhouse is a truly value-added partner,” said John Harcourt, Camelot CEO. “Their valuable insights, constructive support and resourcefulness enabled us to realize our vision of building a leading provider of high-quality educational programs. I wish Todd and his team continued success under Riverside’s ownership.” John Harcourt will continue as the Chief Executive Officer of the Camelot division remaining in the Charterhouse portfolio.
The Company was advised on the transaction by BMO Capital Markets Corp. and Proskauer Rose LLP.
Camelot is a leading provider of behavioral health and alternative education services to at-risk and special needs youth and adolescents. Through its Education Services Division, the Company operates therapeutic day schools and contracts with public school districts to manage specialized educational programs for at-risk youth, including remedial discipline schools and academic programs for over-aged students. Through its System of Care Division, the Company also operates residential treatment facilities and outpatient clinics for adolescents with emotional and behavioral disorders. Camelot is headquartered in Austin, Texas.
About Charterhouse Group
Charterhouse Group, Inc. is a private equity firm with almost four decades of experience in working with Entrepreneurs and building leading middle-market companies. Established in 1973, Charterhouse has invested in excess of $2.0 billion in equity and established over 100 platform companies with a focus in the Healthcare Services, Business Services and Consumer Products and Services sectors. For more information on Charterhouse, please visit www.charterhousegroup.com.