Community Medical Services, which is backed by Clearview Capital, has acquired Kent, Ohio-based Restorative Health and Recovery, an opioid treatment provider. No financial terms were disclosed.
Stamford, CT, May 5, 2020 — Clearview Capital Fund III, L.P. (“Fund III”) announced today the acquisition of IHP-Med-Psych-Solutions, Inc., dba Restorative Health and Recovery (“RHR”), by its portfolio company,Community Medical Services (“CMS”). The transaction closed on April 13, 2020.
CMS is a leading provider of medication-assisted treatment programs for patients suffering from opioid use disorder (“OUD”), operating 40 treatment facilities in nine states. Excluding RHR, all CMS locations are licensed as opioid treatment programs (“OTPs”), which provide individual and group counseling and peer support programs concurrent with regularly scheduled dispensing of FDA-approved medications to aid in the recovery journey.
Founded in 2007, RHR is an office-based opioid treatment (“OBOT”) provider located in Kent, Ohio. OBOTs are an alternative to OTPs for patients seeking treatment in a more traditional physician office setting. OTPs and OBOTs generally provide similar physical and mental health services, but the primary approved medication dispensed at OTPs requires more direct and more frequent dosing oversight. In this way, an OBOT can feel more akin to a primary care physician experience as it provides greater flexibility and a perceived sense of additional privacy, which may appeal to certain eligible patients.
“We are excited about the addition of RHR to the CMS platform. First, it expands our presence in Ohio, a state that has been ravaged by the opioid epidemic,” said Nick Stavros, CMS CEO. “Secondly, it allows us to explore the OBOT model as another solution for patients suffering from OUD. We have the opportunity to expand this model to other markets within our footprint to provide care for individuals we may not otherwise reach with our current system.”
“Increasing access to proven, high quality treatment is a key pillar of CMS’ mission,“ commented Brent Simon, Vice President at Clearview Capital. “With our capital support and strategic board-level guidance, CMS has more than tripled the number of its treatment locations, through a combination of de novo openings and three acquisitions, during our partnership.”
“Despite the unprecedented impact the COVID-19 pandemic has had on the U.S. economy, we continue to look for strategic opportunities to deploy capital behind new platforms, as well as to support the continued growth of our portfolio companies,” stated Matt Blevins, Partner at Clearview Capital. “CMS’ acquisition of RHR is a great example of our strategy to continue building market-leading companies in attractive industries and to fund continued growth through market cycles.”
Holdings in funds managed by Clearview Capital include Workforce Solutions, a provider of management consulting services focused on organizational improvement, leadership development, communications and advocacy for a broad array of clients; Apothecare Pharmacy, LLC, an institutional pharmacy targeting the behavioral health sector; Community Medical Services Holdings, LLC, a provider of medication-assisted treatment programs for patients suffering from opioid use disorder; UpSwell, LLC f.k.a. Mudlick Mail, LLC, a data-driven direct mail and related marketing solutions provider; Orchard & Vineyard Supply f.k.a. Wilson Orchard & Vineyard Supply, a provider of orchard and vineyard supplies and solutions, and outsourced vineyard management services; Controlled Products, LLC, a manufacturer and distributor of premium quality synthetic turf; Elevation Labs f.k.a. Northwest Cosmetic Labs, a formulator and manufacturer of cosmetic and skin care products for prestige brands; Derby Building Products, Inc. f.k.a. Novik, Inc., an innovator, manufacturer and distributor of polymer building products; Child Health Holdings, Inc. d.b.a. Pediatric Health Choice, the country’s largest provider of prescribed pediatric extended care (“PPEC”) centers for medically complex children; and Pyramid Healthcare, Inc., a provider of substance use disorder and mental health treatment programs for adults and adolescents.