Foundations Recovery Network Acquired by Private Investors Committed to Growth

NASHVILLE, Tenn. & CHICAGO--()--Foundations Recovery Network, an innovative behavioral health treatment provider, announced its acquisition by an investor group led by a Nick Pritzker Capital Management affiliate. Terms were not disclosed.

The acquisition from Chicago-based private equity firm Sterling Partners aligns the company with a source of significant capital with which to execute its growth plans. Rob Waggener will continue to serve as CEO with former Hyatt president and hospitality industry veteran Doug Geoga serving as chairman.

"This investment combines innovations in behavioral health treatment with a leader in hospitality management," said Waggener. “We are extremely excited about the opportunity to work with Nick Pritzker and his team in further expanding our network of treatment centers that provide quality patient centered care.”

In the behavioral health industry, Foundations Recovery Network distinguishes itself by delivering multiple core competencies that include customer acquisition, patient-centered care, revenue cycle management and outcomes-informed treatment. The company has experienced significant year-over-year growth in both revenues and profitability.

"By providing Foundations Recovery Network with the necessary capital, it can lead the way in meeting the rapidly escalating demand for behavioral health treatment,” said Nick Pritzker. Joby Pritzker, a Foundations Recovery Network advisor, added, “Rob and his team possess an effective approach for growth and execution in this market.”

“We are pleased to have helped Foundations Recovery Network’s leadership realize their strategy and build a high-quality growth company,” said Danny Rosenberg, managing director at Sterling Partners, whose portfolio includes six healthcare companies. “Rob’s and his team’s management guided the expansion of Foundation Recovery Network’s service offering,enabling a successful outcome for the company and our investors. We envision its continued success in the future.”

About Foundations Recovery Network:

Headquartered in Nashville, Tenn., Foundations Recovery Network is one of the premier organizations for treating those with co-occurring addiction and mental health disorders. Its treatment facilities includes Michael’s House in Palm Springs, Calif., The Canyon in Malibu, Calif.; La Paloma in Memphis, Tenn., and full-service outpatient treatment centers in Atlanta; Santa Monica, Calif., Memphis and Palm Springs.

All Foundations Recovery Network facilities utilize an integrated treatment approach, focusing on a Dual Diagnosis model for lasting recovery. www.foundationsrecoverynetwork.com

About Sterling Partners:

Sterling Partners is a private equity firm with a distinct point of view on how to build great companies. Founded in 1983, Sterling has invested billions of dollars, guided by the company’s stated purpose: INSPIRED GROWTH, which describes Sterling’s approach to buying differentiated businesses and growing them in inspired ways. Sterling focuses on investing growth capital in small and mid-market companies in industries with positive, long-term trends – education, healthcare, and business services. Sterling provides valuable support to the management teams of the companies in which the firm invests through a deep and dedicated team of operations and functional experts based in the firm’s offices in Chicago, Baltimore and Miami.

The people at Sterling believe in ideas and ideals, in people and partnerships that drive long-term success. For more information, please visit www.sterlingpartners.com.

Contacts

SkillSet Enterprises
on Behalf of Foundations Recovery Network
Jeff Skillen, 615-828-1950
Jeff@skillsetenterprises.com
or
Edelman (for Sterling Partners)
Trevor Gibbons, 212-704-8166
Trevor.Gibbons@edelman.com

Release Summary

Foundations Recovery Network Acquired by Private Investors Committed to Growth

Contacts

SkillSet Enterprises
on Behalf of Foundations Recovery Network
Jeff Skillen, 615-828-1950
Jeff@skillsetenterprises.com
or
Edelman (for Sterling Partners)
Trevor Gibbons, 212-704-8166
Trevor.Gibbons@edelman.com