In 2017 Viper Equity Partners saw plastic surgery as the next big private equity target. They began signing up marquee offices nation wide and courting buyers to pay attention. Since then, they have closed $200m in transactions which they consider to be only the beginning of a 10-year run.
“The first couple years were tough trying to gain interest from our PE partners. We knew it would be huge once it started but, in those days, it was deal by deal.”— David C. Branch, Viper’s founder
Fast forward to 2022, the market is extremely busy. Private equity firms are flooding the market with new platforms focused on med spas, aesthetics, and plastic surgery offices of all specialties. The industry just makes sense. From the revenue side there is insurance, fee for service and an enormous flow of recurring revenue streams. Procedures range from premium cost surgeries to moderately priced noninvasive options available using nurses and physician assistants. The reality of people living longer and the desire to look better coupled with a surging economy makes it a must have business model.
Large Inventory Available
Viper presently has a large inventory of practices and roll-ups available for acquisition.
“We have targeted individual deals with EBITDAS in the $3-5m dollar range and roll-ups with over $10m. Our goal is to be able to meet the needs of all buyers depending on their growth strategy.”— Samir Qureshi, Viper’s President of their Aesthetics division
There also has been some extraordinarily successful mergers with dermatology and plastic surgery groups. This move brings cross-referral revenues in house along with the strong insurance revenues that Dermatology offices have. Two business models that align perfectly together.
Viper is presently looking for plastic surgery offices, both cosmetic and reconstructive, nationwide with multi locations and revenues above 10m. They also have room in two med spa rollups in the mid-west and southeast. Contact Viper Equity Partners for more information.
[Source(s): Viper Equity Partners, PR Newswire]