Chicago, IL, March 28, 2022 — The Vistria Group announced the acquisition of Beacon Specialized Living Services, Inc. (the “Company” or “Beacon”), a leading provider of both residential and support services to adults and children with severe mental illness, complex behavioral health needs, and intellectual and developmental disabilities. Beacon represents The Vistria Group’s fourth investment from Vistria Fund IV, LP, a $2.68 billion fund, which closed in June of last year.
For over 50 years, Beacon has been the community partner of choice for adults and adolescents struggling with severe mental illness and intellectual and developmental disabilities. With a person-centered approach, the Company coordinates a variety of support services and care to help individuals achieve their personal goals and improve health outcomes. Since its founding, this model has driven the organization’s growth from 27 homes in Michigan to over 200 homes today across Michigan, Pennsylvania, Minnesota, New Jersey, and Wisconsin through a combination of strategic acquisitions and de novo locations.
“Behavioral challenges can be complex, but the services provided to treat them don’t need to be. We believe in treating residents holistically, coordinating a variety of residential, healthcare, social, and medication management services to promote their well-being and prevent unnecessary costs caused by improper treatment,” said Darren Hodgdon, CEO of Beacon. “This shared understanding is what drove our partnership with The Vistria Group, as a firm that has the resources, track record and compassion to propel Beacon’s mission and reach communities that really need help to care for these people.”
Beacon serves over 1,800 individuals with a range of intellectual disabilities, developmental disabilities or severe mental illness, equipping them with the tools to achieve meaningful improvements in function, independence and overall well-being. The partnership with The Vistria Group will not only provide capital for reinvestment in the care and services provided, but also an opportunity to fund innovations in the Company’s behavioral health care model. Beacon’s approach is effective as demonstrated by the strong percentage of its patient population with sustained behavioral improvements, medication compliance and symptom reduction.
“Beacon has demonstrated that it can use a combination of residential and support services to help people lead more productive and healthy lives. We love their focus on quality and outcomes and believe that makes them a strong partner for all stakeholders,” said Amy Christensen, Partner and Co-Head of Healthcare at The Vistria Group. “We believe that by investing in Beacon’s growth, we can provide greater access to more people who need the very help that Beacon provides, thereby improving outcomes and reducing cost in the system simultaneously.”
About Beacon
Founded in 1998 and headquartered in Kalamazoo, Michigan, Beacon Specialized Living Services (www.beaconspecialized.org) is a critical care company that provides innovative, comprehensive behavioral health services through a continuum of essential community-based services, including residential group homes, crisis homes, day programs, and supports services, for individuals with severe mental illness, intellectual and developmental disabilities, and substance use disorders. Beacon provides shelter, education, training, and relevant treatment and therapy to an otherwise challenging and transient population in lower-cost community settings.
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.
AMY CHRISTENSEN
achristensen@vistria.com
