Private Equity Health Care Acquisitions – September 2021

In light of the growing investor interest in health care and the risks associated with private equity ownership of health care companies, the Private Equity Stakeholder Project will be tracking private equity-backed health care acquisitions. Below is a list of private equity health care buyouts and add-on acquisitions completed or announced during September 2021. We will continue to track acquisitions on a monthly basis.

See August 2021 acquisitions here.

Eye Care

Private equity acquisitions of eye care companies, namely in ophthalmology and optometry, continued to accelerate, with at least seven acquisitions in September. This is part of a growing trend of increased private equity investment in eye care, which has been ramping over the last few years as investment in other specialty practices, such as dermatology, as declined.[1]

According to data provider Pitchbook, there were 28 private equity-led eye care deals in 2019 and 27 deals in 2020.[2] PESP has counted at least 36 deals in 2021 between January 1 and October 1.[3]

September 2021 Eye Care Acquisitions

Private equity’s interest in eye care may stem from a combination of factors. Revenue for eye care is expected to grow at an annualized rate of 2% per year through 2024 as a result of an aging population and improved coverage and access to care. Additionally, the fragmentation of the industry presents opportunities for consolidation.[4]

Below are examples of two fast-growing eye care companies owned by private equity firms that have made acquisitions in September.

Vision Innovation Partners – Centre Partners

Centre Partners-owned Vision Innovation Partners acquired two eye care companies in September: See Clearly Vision in Arlington, VA and Ophthalmic Associates, which has five locations in Western Pennsylvania. Vision Innovation partners has acquired two other eye care practices this year: Northeastern Eye Institute in August and Eyes of York in January.

Vision Innovation Partners is a fast-growing eye care platform founded by Centre Partners in 2017 when it acquired and merged two leading Mid-Atlantic ophthalmology practices, Chesapeake Eye Care and Laser Center and Whitten Laser Eye.[5] Since then, Centre Partners has made 20 add-on acquisitions of eye care companies in the Mid-Atlantic. As of September 2021, it has 60 practice locations and 10 surgery centers across Maryland, Washington D.C., Virginia and Pennsylvania.[6]

EyeSouth Partners – Shore Capital Partners

Shore Capital Partners-owned EyeSouth Partners has acquired Eye Center of St. Augustine in Florida. This is the sixth practice EyeSouth/Shore Capital has bought this year. It also acquired Midwest Eye Center (January 2021), North Georgia Eye Clinic (February 2021), Georgia Eye Physicians and Surgeon (May 2021), Retina Care Specialists (May 2021), and an independent practice in South Florida (August 2021).

Shore Capital formed EyeSouth in 2017 as a platform to acquire eye care practices.[7] EyeSouth now has over 115 locations including 14 surgery centers throughout Georgia, Texas, Louisiana, Florida, Tennessee, Ohio, Kentucky and Alabama.[8]

September PE Buyouts

September PE Add-on Acquisitions

[1]https://crstoday.com/articles/mar-2021/private-equity-in-2021/

[2]https://crstoday.com/articles/mar-2021/private-equity-in-2021/

[3] Pitchbook, accessed October 2021.

[4]https://crstoday.com/articles/mar-2021/private-equity-in-2021/

[5]https://www.prnewswire.com/news-releases/centre-partners-announces-investment-in-chesapeake-eye-care-300492870.html

[6]https://www.prnewswire.com/news-releases/vision-innovation-partners-completes-20th-acquisition-301385005.html

[7]https://www.shorecp.com/news/shore-capital-partners-announced-formation-of-eyesouth-partners-completes-affiliation-with-georgia-eye-partners

[8]https://www.businesswire.com/news/home/20210910005062/en/EyeSouth-Partners-Affiliates-With-Eye-Center-of-St.-Augustine-Representing-the-Network%E2%80%99s-25th-Affiliation-and-Sixth-Practice-in-Florida