Searching” Private Equity Dental” brings up a whole mess of trouble! Here is just one.
Based in Phoenix Arizona-“ReachOut sends dentists-on-wheels to service low-income children in public schools under the government's Medicaid contracts. It has separate programs for the elderly and the military. ReachOut operates in 21 states.”
“ ReachOut Healthcare America (RHA) is amongst the nation’s leading administrative services organization for mobile dentistry and healthcare.
Founded in 1997 and headquartered in Phoenix, Arizona, RHA provides administrative support to dental PCs. RHA and its affiliate, Home Dental Group, has a staff of motivated professionals who will ensure their commitments are fulfilled to the highest standard. RHA works with PCs that possess a diverse patient base including children in our nation’s Headstart programs, foster programs and public schools.”
At the time of Sentinel’s purchase of ReachOut, the company had less than $5 million in EBITDA. At the time of the sale, the EBITDA had increased to $17 million. Sentinel Capital Partners, LLC unloaded ReachOut Heathcare America, Ltd on Morgan Stanley Private Equity in January 2011.
ReachOut Healthcare America, Ltd. (RHA) was formerly known as Health Kids Dental and Seniors Dental.
Co-Founders of ReachOut Healthcare America:
Michael Howell
Dan Goldsmith
From The Deal.com
ReachOut Healthcare America Ltd. and Sirona Dental Systems Inc. -- Fixing teeth may not be the most glamorous of investment picks, but it has drawn in substantial private equity capital. Two niche providers stood out for the healthy returns that their sponsors extracted through timely exits. Phoenix-based ReachOut sends dentists-on-wheels to service low-income children in public schools under the government's Medicaid contracts. It has separate programs for the elderly and the military. Sentinel Capital Partners LLC invested $22 million in 2007 and held 80% of ReachOut. The company, with less than $5 million of EBITDA at the time, was Sentinel's third investment in a dental business but the first where government reimbursements accounted for nearly 100% of accounts. ReachOut added Mobile Dentists in August 2008 and Help A Child Smile in 2010. With organic growth, EBITDA had reached $17 million by the time Morgan Stanley Private Equity took over as new owner in January. The sale allowed Sentinel to book profits of between 6 and 7 times its cost.
Sentinel Capital Partners other dental company investments include:
Castle Dental Centers, Inc-sold in 2004
Metro Dentalcare-sold in 2007
