JACKSONVILLE, Fla.--(BUSINESS WIRE)--Refresh Mental Health (“Refresh”), a leading national provider of outpatient mental health services with over 200 locations in the United States, today announced that affiliates of Kelso & Company (“Kelso”), in partnership with Refresh management, have acquired a majority equity interest in the company. Kelso’s stake in Refresh was acquired from affiliates of Lindsay Goldberg.
Refresh has locations in 28 states plus the District of Columbia with approximately 2,000 mental health clinicians and more than one million patient visits annually. The company’s psychiatrists, psychologists, and licensed clinical social workers treat the full spectrum of mental health conditions across all age ranges in both physical and telemedicine settings.
Steven Gold, founder and CEO of Refresh, will retain a significant equity ownership in the company. He said, “This transaction is a testament to Refresh’s incredible team of dedicated healthcare clinicians around the country who provide exemplary care to our patients. We are appreciative of the many contributions of Lindsay Goldberg over the last three years and could not be more excited to partner with Kelso going forward to expand our national footprint of quality care into even more communities. While we have a new equity partner, this will not impact our daily commitment to clinical excellence and patient service.”
Refresh has experienced significant growth in demand for its services since its founding in 2017. Refresh is committed to providing in-network insurance access across its network. Additionally, Refresh’s telemedicine offering has seen increased adoption since the onset of the Covid-19 pandemic, as more clients seek mental health services.
Refresh partners with established mental health practices and clinical thought leaders to enhance growth and operations while maintaining local brands, culture and clinical focus. Since its founding, Refresh has expanded its footprint through an extensive acquisition, clinician recruitment, and new location growth strategy. This approach will continue with Kelso’s partnership.
“Refresh has developed a very compelling business model that is poised for further expansion into more communities across the country,” said Hank Mannix, a Managing Director at Kelso. “We look forward to supporting Refresh’s growth strategy while maintaining clinical excellence as the highest priority. The healthcare professionals at Refresh are providing a much-needed service in their communities with high-quality patient care.“
Moelis & Company served as financial advisor to Kelso. Skadden, Arps, Slate, Meagher & Flom LLP, Debevoise & Plimpton LLP, and Epstein Becker & Green, P.C. served as legal counsel to Kelso.
Owl Rock, Benefit Street, and Antares provided debt financing to Refresh.
About Refresh Mental Health
Founded in 2017, Refresh Mental Health is a national provider of outpatient mental health services. The Company has grown rapidly, both organically and through acquisition, and currently operates over 200 outpatient locations in 28 states plus the District of Columbia. Refresh employs 2,000 clinicians nationwide and is led by founder and CEO Steve Gold.
Refresh provides in-network access to high-quality psychiatric and psychotherapy services for the treatment of mental health disorders, such as anxiety and depression, primarily in an outpatient setting. Refresh operates established local brands with strong referral networks and provides value-added central services to enhance growth and operations across its markets. The company promotes clinical excellence, celebrates diversity among staff and clients, and is committed to making mental health services an accessible and routine form of preventative healthcare for all.
Kelso is one of the oldest and most established firms specializing in private equity investing. Since 1980, Kelso has invested over $14 billion of equity capital in 130 transactions. Kelso was founded by the inventor of the Employee Stock Ownership Plan (ESOP) and, as a result, the principles of partnership and alignment of interest serve as the foundation of the firm’s investment philosophy. Kelso benefits from a successful investment track record, deep sector expertise, a long-tenured and stable investing team, and a reputation as a preferred partner to management teams and corporates. Kelso has significant experience investing in and supporting high-growth healthcare platforms. The firm is based in New York, NY. For more information, please visit www.kelso.com.