Houlihan Lokey Advises Dynamic Therapy Services

Houlihan Lokey is pleased to announce that we recently advised Dynamic Therapy Services, LLC (Dynamic), a portfolio company of Lake Capital Partners (Lake Capital), on its acquisition by Pivot Physical Therapy (Pivot), a portfolio company of CI Capital Partners (CI Capital). The transaction closed on February 15, 2017.

Headquartered in Linwood, Pa., Dynamic is one of the largest multi-state, independent, pure-play providers of outpatient rehabilitation services in the Mid-Atlantic region. The company provides a wide range of customized physical therapy programs with a focus on high-quality patient care. Since 2011, Dynamic has grown from 21 to 36 clinics located throughout Delaware, Maryland, and Pennsylvania. As a result of the company's strong regional density, valuable brand recognition, and well-established patient and referral relationships built over the past 20 years, Dynamic has demonstrated a consistent track record of visit growth, driving a strong top-line and same-clinic growth profile.

Lake Capital is a private equity firm focused on investing in middle-market, service-based enterprises. The firm partners with leadership teams to support organic and acquisition-enhanced growth through the application of capital, strategic perspective, and operational insights.

Pivot is one of the largest independent providers of physical therapy services on the East Coast of the United States, with 200 locations across six states. The company strives to be a leader in providing physical therapy, occupational therapy, and wellness services on the East Coast, with specialties in sports medicine, industrial rehabilitation/work solutions, manual therapy, general orthopedics, total joint rehab, post-operative care, arthritis management, auto accidents, sprains/strains, and neuromuscular pain. Pivot is also currently the largest provider of athletic trainers in the state of Maryland.

CI Capital is a North American private equity firm with $2.2 billion in assets under management. The firm forms partnerships with experienced management teams and entrepreneurs to build businesses through add-on acquisitions, organic growth, and operational improvements. Since its inception, CI Capital and its portfolio companies have made more than 210 acquisitions representing over $8 billion in enterprise value. CI Capital's existing portfolio consists of companies that collectively generated revenue of over $3.0 billion and EBITDA of over $350 million over the last year.

This transaction represents Houlihan Lokey's continued leadership and momentum in the multi-site healthcare sector. It is Houlihan Lokey's second transaction in the outpatient rehabilitation sector in the last 12 months, having previously advised on the sale of Physiotherapy Associates to Select Medical. 

Houlihan Lokey served as the exclusive financial advisor to Dynamic and assisted in initiating, structuring, and negotiating the transaction on their behalf.

Houlihan Lokey's Healthcare Group is a recognized leader in M&A advisory and capital-raising services, providing advice to healthcare services, managed care, senior housing, biopharmaceutical, and life sciences companies. With more than 35 investment bankers in Chicago, Dallas, and New York, Houlihan Lokey's Healthcare Group is among the largest dedicated healthcare investment banking groups in the country. In 2016, the group closed 41 transactions and was ranked the No. 1 advisor for all U.S. Healthcare M&A transactions by Thomson Reuters. Houlihan Lokey's Healthcare Group has closed more than 300 M&A healthcare transactions since inception.