Quick Review: Eye Care M&A Activity Starts off Strong in 2022

Vertical: Eye Care
Author: JC Lupis
Date: January 2022

Eye care was among the most active sectors in healthcare mergers and acquisitions (M&A) last year, driven by PE-backed transactions. Despite this activity and the ophthalmology market being further along the consolidation lifecycle than some other specialties, the market remains fragmented and we expect sustained M&A activity in the near term.

If the start of this year is any indication, then we are looking at a very strong year for eye care transactions.

Eye care deals have exploded to start the year, with an impressive 17 practice partnerships announced through today (January 13th), averaging more than 2 per business day since the start of the year. It’s true that a couple of these deals were closed prior to January 1st, but we are including them in the below list due to their announcements this year.

Here is a quick rundown of deal activity since the beginning of this year, as reported in our Daily Note and covered in our M&A database.

Platform Acquisition:

The Beekman Group formed a new eye care platform through strategic partnerships with Campus Eye Group of Hamilton, NJ and Total Eye Care of Levittown, PA. The new platform, Campus Eye Holdings, consists of 10 ophthalmology practice locations and 1 ASC.

Number of Tuck-In Acquisitions, by Group:

  • Spectrum Vision Partners (backed by Blue Sea Capital): 3 partnerships
  • EyeCare Partners (backed by Partners Group): 3 partnerships
  • Sunvera Group (backed by Ridgemont Equity Partners): 2 partnerships
  • Unifeye Vision Partners (backed by Waud Capital Partners): 1 partnership
  • MyEyeDr (backed by Goldman Sachs Merchant Banking):  1 partnership
  • Retina Consultants of America (backed by Webster Equity Partners): 1 partnership
  • Midwest Vision Partners (backed by Alpine Investors): 1 partnership
  • Comprehensive EyeCare Partners (backed by Gauge Capital): 1 partnership
  • Vision Innovation Partners (backed by Centre Partners): 1 partnership
  • Eye Health America (backed by LLR Partners): 1 partnership

Notable Deals by Size:

  • Eye Health America’s partnership with Southeast Retina Center adds 11 locations and an ASC throughout southeastern Georgia to its footprint.
  • EyeCare Partners’ partnership with Sabates Eye Center adds one of Kansas City’s largest multi-specialty eye care practices, with 5 locations throughout Kansas and Missouri supported by 25 providers and 90 eye care professionals.
  • EyeCare Partners’ acquisition of Retina Associates of Kentucky is also a sizable one, with the practice being one of the largest independent vitreoretinal practices in the Central US, sporting 12 locations, 12 doctors, and 107 clinical and support team members.
  • Retina Consultants of America’s addition of Retina Consultants of Charleston expands its footprint in South Carolina by 8 locations.
  • MyEyeDr.’s partnership with Associates in Eyecare brings 10 locations in Northern Virginia and Washington, DC and 28 optometrists into the Goldman Sachs-backed group.
  • Spectrum Vision Partners’ addition of Pennsylvania’s Associates in Ophthalmology brings 8 clinic locations, an ASC, and roughly 100 employees into its network.

Global Healthcare Advisors (GHA) is a boutique buy-side advisory firm that works exclusively in the healthcare industry, partnering with PE firms that are looking to deploy capital behind a thesis for platform investments or seeking to source proprietary deal flow for tuck-in acquisitions. We have worked in almost every corner of the industry, particularly within provider services, including ophthalmology, dermatology, behavioral health, home health & hospice, women’s health, primary care, urology, and cardiology (in which we helped establish the first investor-backed platform).

To learn more about the dynamics of the healthcare industry or how we can help you succeed in the healthcare industry, please contact GHA Managing Director JC Lupis at jclupis@ghadvisors.net.

And to keep on top of deal flow within the industry, subscribe here to the GHA Daily Note, our free daily newsletter that summarizes the latest deals, notable developments, and regulatory events of interest to the healthcare M&A community.