GI Partners has sponsored a recapitalization of AdvoServ, an operator of residential group homes and related education programs for the treatment of individuals with intellectual and developmental disabilities and severe behavioral challenges. No financial terms were disclosed.
GI Partners, a leading trans-Atlantic private equity firm investing in the middle market from offices in California and London, today announced that it has partnered with the senior management team of AdvoServ to recapitalize this private specialist healthcare services provider.
During its 40-year history, AdvoServ has established a strong reputation within the specialist behavioral healthcare sector as a leading operator of residential group homes and related education programs for the treatment of individuals with intellectual and developmental disabilities and severe behavioral challenges. AdvoServ is highly regarded for its state-of-the-art behavioral treatment techniques, which use advanced data analysis and highly individualized programs.
The company’s entire senior management team has been instrumental in developing and refining the care model and will remain in their leadership positions, including Dr. Judith Favell who has served with the company for the past 25 years, most recently as CEO. Dr. Favell commented, “We are very proud of the organization we have built and the reputation we have developed as a leading provider of effective and high quality treatment for individuals with intellectual and developmental disabilities and behavior disorders. One of the key reasons we chose to partner with GI Partners is that we share a common commitment to prioritize the delivery of best-in-class clinical care above all else.”
Howard Park, Managing Director of GI Partners, said, “Judy and her team have done an outstanding job of building AdvoServ into a leading provider of behavioral treatment services. Our mutual goal is to make this care available to a larger segment of what we believe to be a significantly underserved client population.”
GI Partners’ investment in AdvoServ is a natural extension of its healthcare-related portfolio investments. In the U.S., GI Partners teamed up with a talented and experienced management team at Plum Healthcare, which is a leading skilled nursing facility operator. Since the initial investment in 2006 and through additional capital funding, this business has expanded geographically from 11 facilities to 21 and improved the quality of its service offering as new professionals have been added to the team. In the U.K., GI Partners owns The Cambian Group, a specialist in residential care, rehabilitation and education for individuals with mental illnesses, as well as Care Aspirations, an independent provider of specialist services for individuals with severe learning disabilities. GI Partners identified the behavioral rehabilitation sector as a category for investment several years ago after careful analysis, which has culminated in these two portfolio investments in the U.K. and this most recent healthcare transaction in the U.S.
About GI Partners
Established in 2001, GI Partners is a leading trans-Atlantic private investment firm that focuses on control-oriented investments in asset-backed businesses and properties located in North America and Western Europe. The firm is active in a number of key sectors, including asset-backed IT services, specialty healthcare and education, leisure, commercial real estate, hospitality, retail and financial services. Since inception, the firm has secured $4.0 billion of capital commitments on behalf of recognized institutional private equity and real estate investors in the U.S., Europe, Asia and the Middle East. It is currently investing from GI Partners Fund III. For more information, please visit www.gipartners.com.