Kelly, a workforce solutions provider listed on Nasdaq as KELYA and KELYB, recently made a strategic move by acquiring Children’s Therapy Center (CTC), a childhood therapeutics company. This acquisition marks a significant expansion of Kelly’s clinical services, particularly in the high-margin and high-demand sector of childhood therapy.
The demand for childhood therapy services has been steadily increasing over the years, even before the onset of the pandemic. Issues such as autism, speech therapy needs, and special education requirements have been on the rise, creating a need for specialized services for children. Nicola Soares, the president of Kelly Education, highlighted the importance of acquiring a clinic like CTC to address the growing demand for therapy services, especially for special education students who may require additional support beyond regular school hours.
Kelly plans to integrate CTC into its Pediatric Therapeutic Services (PTS) arm, which was acquired in 2022. PTS, based in Troy, Michigan, offers a range of in-school therapy services mandated by the government, including mental health care and various types of therapy. By incorporating CTC’s expertise in occupational, physical, and speech therapy for children with conditions like autism spectrum disorders, attention deficit disorder, and cerebral palsy, Kelly aims to provide comprehensive services both within schools and through private clinics.
CTC, headquartered in Eagan, Minnesota, operates two locations in the state and caters to children from birth to age 18 with various developmental conditions. The acquisition of CTC aligns well with PTS’s existing contracts with public school districts in the Minneapolis area, allowing Kelly Education to offer a complete range of services to its clients. The shortage of therapists and special education teachers in the workforce has been a significant challenge, making the integration of private clinics like CTC a strategic move for Kelly Education.
Sue Fuller, the founder and owner of CTC, decided to sell the business as she planned for retirement. The terms of the acquisition deal were not disclosed. Kelly Education’s future plans include both organic growth and further expansion through mergers and acquisitions. The company is looking to open additional clinics and expand its services into new states to meet the growing demand for childhood therapy services.
Overall, the acquisition of CTC by Kelly represents a strategic move to strengthen its position in the childhood therapy sector and provide comprehensive services to children with developmental needs. By integrating CTC’s expertise into its existing offerings, Kelly Education aims to address the increasing demand for therapy services in schools and communities across the country.
