Advanced Dermatology & Cosmetic Surgery

Advanced Dermatology & Cosmetic Surgery

Company Overview

Leading provider of clinical and cosmetic dermatology in the United States with 53 Company-owned clinics in two states.

Premier investor in middle market companies managing over $4.8 billion in capital.

Situational Overview

Shareholders had successfully built the leading dermatology platform that owned and operated 53 clinics and provided administrative services to another 47 clinics.

Although there had been many successful institutionally-backed dental transactions, no private equity funds had experience with dermatology practice management business models.

BCA believed shareholders could achieve significant liquidity, retain a meaningful stake in the Company and get access to the capital needed to consolidate the industry through a recapitalization.

Advanced Dermatology had strong growth trends but was impacted by the economic slowdown and its disproportionate impact on Florida, the Company’s core market.

BCA Strategy

Assisted management in preparing investment materials that fairly represented the Company’s unique business model, benefits of existing and future scale and attractive growth opportunities.

Effectively positioned the Company as the dermatology analogy to numerous highly successful dental consolidations.

Positioned the Company as the leading dermatology practice management platform in the Southeast, with the scale and location density to negotiate favorable terms with payers and the opportunity for acquisition expansion.

Transaction Result

Advanced Dermatology was recapitalized by the Audax Group at a valuation that exceeded the original guidance provided by BCA.

Advanced Dermatology’s founders sold a majority of their pre-transaction equity, but, through the use of leverage, will continue to own a significant stake of the Company.

Recapitalization Led by
Undisclosed

“We are very pleased to have worked with Brentwood Capital on this important transaction. They are trusted advisors who played a critically important role and conducted a highly –competitive process that generated results that exceeded our expectations.”

- Dr. Matt Leavitt
CEO, Advanced Dermatology & Cosmetic Surgery