The Stepping Stones Group, a Boston-based company specializing in school-based services, has recently acquired Gallagher Pediatric Therapy, a Fullerton, California-based company that offers occupational and physical therapy for children in school, home, and community settings. The acquisition, which was completed for an undisclosed sum, marks The Stepping Stones Group’s first deal in some time and further solidifies their presence in the market.
Gallagher Pediatric Therapy, founded in 1988 by Mary Kay Gallagher and Gene Riddle, has been serving children in school districts in Los Angeles and Orange counties for over three decades. The company has built a strong reputation for providing high-quality therapy services to children with diverse needs.
This acquisition aligns with The Stepping Stones Group’s diversified approach to school-based services. In 2023, the company acquired Catalyst Speech Language Pathology, based in Los Angeles, further expanding their range of services. The Stepping Stones Group, backed by private equity firm Leonard Green & Partners, offers a wide range of therapeutic services including autism therapy, behavioral health, special education, and school nursing.
The Stepping Stones Group has established itself as one of the largest and fastest-growing behavioral health companies in the U.S. Since its founding in 2014, the company has consistently appeared on the Inc. 5000 list of America’s fastest-growing private companies, ranking at No. 2,545 in the most recent year with 203% revenue growth. This acquisition of Gallagher Pediatric Therapy is expected to further strengthen their position in the market.
Hexagon Capital Alliance advised Gallagher Pediatric Therapy on the deal, facilitating a smooth transition for both companies. The acquisition of Gallagher Pediatric Therapy is part of a larger trend of consolidation in the autism therapy space, with several deals taking place at the start of the year. FullBloom, an academic, behavioral, and mental health provider for schools, acquired CharacterStrong, a school-based mental health provider, while Autism Spectrum Interventions acquired Quality Behavior Solutions, rebranding as Alongside ABA.
Overall, the acquisition of Gallagher Pediatric Therapy by The Stepping Stones Group represents a strategic move to expand their service offerings and solidify their position in the market. With a strong track record of growth and a commitment to providing high-quality therapeutic services, The Stepping Stones Group is poised for continued success in the school-based services industry.
