National Spine & Pain Centers, a portfolio company of Sentinel Capital Partners, has acquired Capitol Spine & Pain Centers. Terms of the deal were not released. Sentinel Capital Partners focuses on lower middle market companies.
Sentinel Capital Partners, a private equity firm that invests in promising, lower middle market companies, today announced its portfolio company National Spine & Pain Centers has acquired Capitol Spine & Pain Centers. Management teams from both companies partnered with Sentinel in the transaction. Terms of the deal were not disclosed.
The combined company is the nation’s leading provider of management services to physicians specializing in interventional pain management procedures focused on relieving back and neck pain. Operating in 22 facilities in Maryland, Virginia and the District of Columbia, affiliated physicians of National Spine & Pain Centers and Capitol Spine & Pain Centers treated more than 40,000 patients in 2011.
“Our two businesses are the leaders in providing advanced, minimally invasive treatment options for patients in the Mid-Atlantic region,” said Drs. Bobby Dey, Marc Loev and Les Zuckerman, co-founders of National Spine & Pain Centers. “Our two organizations have the same mission—to provide a comprehensive approach to the treatment of pain through the use of advanced, minimally invasive, interventional procedures. We also have highly compatible cultures, and look forward to working closely with Capitol Spine & Pain Centers’ talented management team to expand the breadth of our services and our presence throughout the Mid-Atlantic.”
“We are very proud of everything that we have achieved and are excited about joining with National Spine & Pain Centers to create a true market leader,” said Drs. Mayo Friedlis, Doug Wisor and Assaf Gordon, board members of Capitol Spine & Pain Centers. “We have seen the success of National Spine & Pain Centers’ partnership with Sentinel, a private equity firm with a great track record of supporting management teams seeking to build stronger healthcare businesses. We are very excited to join this partnership.”
“With chronic and debilitating pain affecting more people in the United States than diabetes, heart disease and cancer combined, National Spine & Pain Centers addresses a crucial need for its patients and is well positioned in an exciting and fast growing healthcare specialty,” said Paul Murphy, a partner at Sentinel. “We are proud to be partners with these two extraordinary groups as they endeavor to integrate and grow their business.”
Sentinel’s investment in National Spine & Pain Centers continues the firm’s focus on healthcare. In November 2011, Sentinel acquired WellSpring Pharmaceutical Corporation, a North American manufacturer and marketer of specialty prescription and over-the-counter pharmaceuticals. Sentinel’s investments in National Spine & Pain Centers and WellSpring Pharmaceutical Corporation bring to eight the number of healthcare investments completed by Sentinel in the past seven years. Other current Sentinel healthcare holdings include Interim Healthcare, the nation’s largest provider of home nursing care and Massage Envy, the nation’s largest provider of therapeutic massage services. Sentinel successfully exited two healthcare investments in 2010, including ReachOut Healthcare America, the nation’s leader in mobile dental services, and Strategic Partners, a leading provider of medical uniforms. In 2007, Sentinel sold Metro Dentalcare, a regional multi-specialty dental group, to American Dental Partners (NASDAQ:ADPI), and in 2004, Sentinel sold Castle Dental Centers, a leading regional dental services provider, to Bright Now! Dental.
About Sentinel Capital Partners
Sentinel Capital Partners specializes in buying and building lower middle market companies in the United States and Canada in partnership with management. Sentinel targets eight industry sectors—aerospace and defense, business services, consumer products/services, distribution, food and restaurants, franchising, healthcare products/services and industrial manufacturing. Sentinel invests in management buyouts, purchases of family businesses, recapitalizations, corporate divestitures and going-private transactions of established businesses with EBITDA of between $7 million and $35 million. For more information about Sentinel, visit www.sentinelpartners.com.
About National Spine & Pain Centers
Founded in 1998 and based in Rockville, MD, National Spine & Pain Centers provides a comprehensive approach to the treatment of pain through the use of advanced, minimally invasive, interventional procedures. Such treatment provides both immediate and long-lasting pain relief and enables patients and payors to avoid more costly and invasive surgical procedures. National Spine & Pain Centers operates 10 ambulatory surgery centers and provides administrative and management services to physicians who are dedicated to providing high-quality care in an outpatient setting. National Spine & Pain Centers’ affiliated physicians, many of whom are nationally recognized leaders in pain management, are fellowship-trained and board-certified/board-eligible anesthesiologists and pain specialists and treat more than 18,000 unique patients each year. For more information about National Spine & Pain Centers, visit www.myspinedoctors.com.
About Capitol Spine & Pain Centers
Capitol Spine & Pain Centers is Virginia’s leading provider of interventional pain management services focused on relieving chronic back and neck pain through minimally invasive outpatient procedures that are conducted in an office setting. Capitol Spine & Pain Centers operates 12 medical offices staffed with highly trained physicians and other healthcare professionals. Capitol Spine & Pain Centers’ affiliated physicians are fellowship-trained physiatrists, anesthesiologists and board-certified/board-eligible interventional pain management specialists. Many are nationally recognized leaders in the field. Its affiliated physicians treat more than 24,000 unique patients each year.