Silver Oak Services Partners LLC has led a recapitalization of Redwood Dental, a Detroit-based provider of general and specialty dentistry services. No financial terms were disclosed for the transaction that was done in partnership with Redwood management and unnamed co-investors. Also, Redwood has made three add-on acquisitions: Signature Smiles, Affordable Dental Care and Holly Dental Care.
Evanston, IL, July 19, 2017 – Silver Oak Services Partners, LLC (“Silver Oak”), a lower middle market private equity firm focused exclusively on service businesses, announced it has led the recapitalization of Redwood Dental (“Redwood”) in partnership with management and co-investors. In conjunction with the recapitalization, Redwood completed the add-on acquisitions of Signature Smiles, Affordable Dental Care, and Holly Dental Care (collectively, the practices are referred to as the “Company”).
Founded in 1982, Redwood is a leading provider of general and specialty dentistry services in Detroit, MI, operating eight locations throughout the Detroit metropolitan area. The acquisitions of Signature Smiles and Affordable Dental Care add two additional dental practices operating out of single location to Redwood’s platform, and the acquisition of Holly Dental Care adds a tenth location.
“We are proud to announce our growth investment from Silver Oak, as well as the addition of three dental practices to our platform. We believe our partnership with Silver Oak will significantly enhance our growth trajectory going forward,” said Dr. Mark Bouchillon, President of Redwood. Dr. Bouchillon will remain a part of the executive team at Redwood, and Dr. Jeff Solomon, previous CEO of Signature Smiles and Affordable Dental Care, will become CEO of the Company.
“We are excited about our partnership with Silver Oak. Silver Oak’s experience in growing center-based healthcare services businesses made them ideal partners for us, and they bring the additional capital resources and expertise we need to significantly grow the Company,” said Dr. Jeff Solomon. The Redwood management team will retain significant ownership stakes in the business.
Silver Oak was attracted to dental services as a compelling sector for investment due to the recession-resistant nature of the sector, high fragmentation of the industry, low level of capital intensity and the availability of acquisition targets at reasonable multiples. Dan Gill, Managing Partner at Silver Oak, said, “We are excited to partner with Dr. Bouchillon, Dr. Solomon and the rest of the team at Redwood. Redwood is well-known in the industry for its high-quality patient care, and we believe Redwood has developed a best-in-class platform from which to grow.” Redwood is actively looking for add-on acquisition opportunities.
Please contact Dan Gill or David Friedman of Silver Oak for additional information.
Silver Oak invests in business, consumer and healthcare services companies in the lower middle market, typically with EBITDA of $4 million to $20 million.