The Vistria Group announced that Behavioral Health Group (BHG, or, the Company), the largest network of Joint Commission-accredited outpatient opioid treatment and recovery centers in the United States, has entered into a definitive agreement to acquire Center for Behavioral Health (CBH), a provider of outpatient substance use disorder and behavioral health services. With 20 treatment centers across eight states, the acquisition of CBH provides a strategic market entry opportunity for the Company, allowing them to expand their geographic footprint while also further cementing their presence in Louisiana, South Carolina and Kentucky.
Currently, opioid overdose deaths are considered the number one cause of accidental death in the U.S., surpassing automobile accidents in 2018. In 2021, approximately 100,000 people died of an overdose, a record high and 30% increase over the prior year. In addition, as the number of Americans with substance and opioid use disorders continues to increase, the need for more treatment becomes ever more relevant. As one of the few scalable platform companies built to address this problem, the acquisition will enable BHG to provide more access to treatment, operating a total of 116 treatment facilities and two labs across 23 states.
“BHG’s vision is to provide high-quality outpatient substance use disorder treatment in communities across the country and the acquisition of CBH will allow us to further that mission and provide access to care for even more patients and communities. We focus on a wholistic approach to deliver superior patient outcomes and will continue to do so,” said Jay Higham, Chief Executive Officer of BHG.
The Company carries out this goal by providing a full spectrum of Medication Assisted Treatment (MAT) in outpatient settings, using all three FDA approved medications, extensive counseling, and medical services to address co-occurring conditions. These medically proven programs show excellent outcomes as measured by almost all objective criteria – eliminating opioid use; improvements in employment, family dynamics, and general well-being; and significant reductions in ER visits and healthcare expenditures. Furthermore, outpatient MAT treatment – delivered in either Opioid Treatment Programs (OTP) or Office Based Opioid Treatment (OBOT) settings – provides high quality treatment at a fraction of the cost of residential and inpatient treatment programs, which further emphasizes the value of BHG’s clinical strategy.
“It has been a pleasure to work alongside Jay and his team,” said Amy Christensen, Partner and Co-Head of Healthcare at The Vistria Group. “This new acquisition is emblematic of the types of acquisitions BHG has successfully executed over the last three years and is consistent with their approach of acquiring, integrating, and investing in high quality treatment providers in order to better serve patients across the country.”
Over the last three years the Company has grown through acquisitions and de novos. BHG is leading the industry in its transformation from a minimal service, cash pay business model to a professionalized health care business, and is creating a national footprint in the process. In 2021 alone, the Company added 36 locations in 13 States. Over the next five years, the Company expects to continue bringing best in class healthcare services to underserved parts of the US by sophisticating its clinical model and continuing to scale into new markets.
According to Ben Nordstrom, MD, PhD, Chief Medical Officer of BHG, “Our plan is to invest in acquisitions like CBH to rapidly scale points of access and to expand our service lines across our national footprint to address broader substance use disorders for which MAT has proven beneficial. Leveraging a more sophisticated and integrated care model that employs the full spectrum of evidence-based medication, behavioral therapy and mental health services brings opportunities to serve more of a population in crisis. Our medical mission is to empower our patients to realize their best level of functionality in the community.” Most importantly, noted Dr. Nordstrom, “BHG’s clinical care model enables recovery care teams to meet each patient where they are as a unique individual, providing dynamic, flexible treatment and ongoing care as their goals, motivations, and needs change on their personal path toward recovery.”
About Behavioral Health Group
Behavioral Health Group (BHG) is the largest network of Joint Commission-accredited outpatient opioid treatment and recovery centers in the U.S., delivering comprehensive, personalized evidence-based medical and behavioral therapies for individuals with opioid use disorder. With 117 locations in twenty-four states, BHG has more than 1,900 employees who serve more than 42,000 patients. To learn more, visit bhgrecovery.com.
About The Vistria Group
The Vistria Group is a Chicago-based next generation private investment firm that operates at the intersection of purpose and profit. Vistria partners with middle-market businesses in Healthcare, Education and Financial Services that are passionate about growth and committed to the community. Our decision to invest in these areas is driven by our belief in companies producing scalable social value. Vistria’s team is comprised of highly experienced operating partners and investment professionals with proven track records of working with management teams in building innovative, market-leading companies.