NexPhase Capital has recently completed the acquisition of Empower Community Care, a behavioral health enablement platform, marking another significant move in the private equity sector’s interest in the behavioral health space. This acquisition highlights the increasing demand for proven partner solutions with scale as the behavioral health industry continues to grow and evolve.
The terms of the acquisition were not disclosed, but it is known that Northlane Capital Partners was Empower’s previous capital partner before the acquisition by NexPhase Capital.
Joel Killion, a partner at NexPhase, praised Empower’s unique model in a press release, stating, “Empower has established a differentiated, go-to platform for public and nonprofit systems seeking proven, cost-effective alternatives to institutional care. The company’s unique model, rooted in deep clinical validation, scalable technology, and a mission-driven culture and team, has enabled the business to consistently deliver strong outcomes at scale.”
Empower Community Care, based in Atlanta, offers a range of behavioral health, child welfare, justice, and education programs to support youth, families, and adults. The organization provides training, clinical services, and software to public and private agencies in the U.S. and abroad.
Founded in 2016, Empower has a team of over 120 employees serving more than 2,000 customers across the U.S. and in over 35 countries. CEO Josh Glade expressed his excitement about the acquisition, stating, “The NexPhase team understands the complexity of the behavioral health landscape and shares our commitment to scaling proven, community-based care.”
NexPhase Capital, based in New York, focuses on investments in the health care, software, and other sectors. The firm has been actively involved in the behavioral health space, with investments in various autism-focused therapy providers, including Behavior Frontiers and Action Behavior Centers.
Quint Carr, a principal at NexPhase, highlighted the tangible outcomes delivered by Empower, stating, “This is a business that delivers tangible outcomes – for public systems, nonprofit partners, and most importantly, the families and individuals they serve.”
Transaction activity in the technology, vendor, and provider-adjacent space has been on the rise in recent years, with notable acquisitions such as Roper Technologies Inc.’s purchase of CentralReach and NeuroFlow’s acquisition of Quartet Health.
Eugene Krichevsky from Northlane Capital Partners also commended Empower’s growth trajectory since their investment in 2021, stating, “We believe Empower is well-positioned for continued growth and wish the team success during this next chapter.”
