Patriot Capital, a multi-strategy middle market investment firm, is pleased to announce the sale of its portfolio company, D&S Community Services, to The MENTOR Network, a premier provider of home and community-based health care and support services.
D&S Community Services, headquartered in Austin, Texas, is a leading provider of residential and community-based services to individuals with intellectual and developmental disabilities (I/DD). With locations in Texas, Tennessee, Kentucky, and New Jersey, D&S Community Services offers a broad range of services—from residential and in-home support to day habilitation programs, and specialty therapy and nursing services. The combined company will offer a comprehensive array of supports and services nationwide to individuals with I/DD, enabling delivery of high-quality services to clients and families with a fully built-out infrastructure across multiple care settings.
Patriot Capital Group originally invested in D&S Community Services in 2005 through Patriot Capital I and again in 2015 through Patriot Capital III, by providing debt and equity financing to support Comvest Partner’s acquisition of D&S. During the two investment periods, D&S Community Services grew from largely a single state $29 million/$2.8 million EBITDA provider of I/DD services with approximately 108 occupied homes and 560 clients to a multi-state and services provider with 330 managed homes and over 2,200 clients.
“We are pleased with the outcome of seeing D&S join The MENTOR Network to expand services that support the health and wellbeing of the special needs community,” said Charles McCusker, managing partner at Patriot Capital. “Our investment in D&S exemplifies both our implicit commitment to responsible investing that we’ve been using for the past 20 years and our formalized Responsible Investing strategy which we announced this quarter. We’ll continue to use our Responsible Investing framework to invest in and support portfolio companies that advance this cause. We have enjoyed our partnership with Mickey and the D&S team in creating growth and look forward to seeing their continued success.”
“Patriot Capital has been a steadfast partner for D&S, providing strategic counsel and supporting our growth strategy as we expanded into new markets and enhanced our service offerings,” said D&S Community Services Chief Executive Officer Mickey Atkins. “We look forward to joining The MENTOR Network and continuing our work of promoting independence and quality of life for individuals with special needs.”
For more information on this transaction, please contact Charles McCusker or Jonathon Cope.