Linden Completes Acquisition of Pinnacle Treatment Centers
Chicago, IL (August 10, 2016) – Linden Capital Partners (“Linden”), a Chicago-based healthcare private equity firm, announced today that it has completed its acquisition of Pinnacle Treatment Centers (“Pinnacle” or the “Company”). Headquartered in Mt. Laurel, New Jersey, Pinnacle is a leading provider of inpatient and outpatient treatment for those suffering from substance abuse addiction. Founded in 2006, the Company operates over 30 facilities in five states and offers a full continuum of services, including detoxification, residential, outpatient, and transitional living.
“We are excited to enter into this strategic partnership with Linden, which has extensive behavioral health expertise and a strong track record of developing healthcare services businesses,” said Joseph Pritchard, Chief Executive Officer of Pinnacle. “We are proud of our accomplishments since our founding and, with the support and guidance of Linden, we look forward to the continued progression of our growth strategy, providing high quality, accessible substance abuse treatment for our patients.”
“Pinnacle has become a leader in an important behavioral health market and has a strong track record of de novo and acquisition-based growth,” said Linden Partner Michael Watts. “We are impressed by Pinnacle’s high quality, full-continuum treatment model focused on local care delivery and look forward to partnering with Joe Pritchard and the Pinnacle team as it expands its geographic presence.”
The investment in Pinnacle is a continuation of Linden’s sector-driven approach and is the third investment in Fund III. Pinnacle represents the firm’s second investment in behavioral health, following its Fund I investment in Behavioral Centers of America LLC. (“BCA”).
Linden has named Gary Kagan, a Linden Operating Partner, to the Company’s Board of Directors. Mr. Kagan has over thirty years of experience in behavioral health, having served as a member of the original management team of Horizon Health Corporation and as a Director of BCA.
Kirkland & Ellis LLP served as legal advisors to Linden. Piper Jaffray & Co. and Sheppard, Mullin, Richter & Hampton LLP served as financial and legal advisors to Pinnacle. Golub Capital provided financing for the transaction.
About Pinnacle Treatment Centers
Pinnacle Treatment Centers is a leading comprehensive provider of substance abuse treatment services to individuals that are addicted to drugs and / or alcohol. Founded in 2006, the Company has grown into an organization that operates over 30 substance abuse treatment facilities in five states (Kentucky, Michigan, New Jersey, Pennsylvania, and Virginia) with additional sites under development in Ohio, Indiana, and Minnesota.
Pinnacle treats over 10,000 people daily and provides a full continuum of care, including detoxification, residential, outpatient, and transitional living programs. Treatment includes treating the individual’s physical, spiritual, emotional, and psychological selves. Pinnacle is CARF accredited and all locations include physicians, nurses, clinicians, administrative, and support staff. For more information please visit www.PinnacleTreatment.com.
About Linden Capital Partners
Linden Capital Partners is a Chicago-based private equity firm focused exclusively on leveraged buyouts in the healthcare and life sciences industries. Linden’s strategy is based upon three elements: i) healthcare and life science industry specialization, ii) integrated private equity and operating expertise, and iii) strategic relationships with large corporations. Linden invests in middle market platforms in the medical products, specialty distribution, pharmaceutical, and services segments of healthcare. For more information, please visit www.lindenllc.com.