Sentinel Capital Partners, a private equity firm that invests in promising lower midmarket companies, today announced the sale of MB2 Dental, a dental partnership organization ("DPO") with a unique doctor-centric ownership model. Terms of the deal were not disclosed.
Headquartered in Dallas, Texas, and serving patients in 24 states, MB2 is a leading DPO offering general dentistry services, orthodontics, pediatrics, prosthodontics, and periodontics. MB2 employs a unique partnership model through which affiliated dentists enjoy the clinical benefits of a private practice and the infrastructure, compliance, marketing, and purchasing advantages of a traditional dental service organization. Drawing on the energy of its highly engaged dentist owners, MB2 has grown rapidly through de novo openings, add-on acquisitions, and strong existing-office growth since its founding in 2007. During its partnership with Sentinel, MB2 grew from 85 affiliated practices to 275, and expanded its geographic footprint from six states to 24.
"It has been an extraordinary experience working with MB2's talented and dynamic management team as the business expanded exponentially over the past three years," said Paul Murphy, a partner at Sentinel. "MB2 has demonstrated the ability to attract and retain capable and highly motivated entrepreneurial dentists by offering clinical autonomy and the opportunity to be owners of their own practices. We are confident that MB2 is well-positioned for future growth and success."
"Working alongside Sentinel, MB2's first institutional investor, has been extremely rewarding and has given us the opportunity to capitalize on the strengths of our unique business model," said Dr. Chris Villanueva, Founder and CEO of MB2. "We expect to continue expanding our platform in existing and new geographies, and we thank Sentinel for helping take us this far."
Dr. Villanueva, management and MB2's dentist owners reinvested a substantial percentage of their equity in the new ownership structure.
Sentinel has established a long-term record of investing in the dental sector going back to 2003. Sentinel currently is an investor in Altima Dental Centres, one of the largest dental services organizations in Canada. In addition to MB2, Sentinel's prior dental investments include Castle Dental and Metro Dentalcare, each a leading regional dental service provider; Northeast Dental Management, a leading dental service provider in the Northeast and Mid-Atlantic; and ReachOut Healthcare America, a leader in mobile dentistry.
About Sentinel Capital Partners
Sentinel specializes in buying and building lower midmarket businesses in the United States and Canada in partnership with management. Sentinel targets aerospace and defense, business services, consumer, distribution, food and restaurants, franchising, healthcare, and industrial businesses. Sentinel invests in management buyouts, recapitalizations, corporate divestitures, going-private transactions, and structured equity investments of established businesses with EBITDA of up to $80 million. Sentinel also invests in special situations, including balance sheet restructurings and operational turnarounds. For more information about Sentinel, visit www.sentinelpartners.com.
About MB2 Dental
MB2 Dental, based in Dallas, Texas, is a first-of-its-kind Dental Partnership Organization founded and led by dentist and entrepreneur, CEO Dr. Chris Steven Villanueva, with a mission to empower dentists to preserve their profession. Since its founding in 2007, MB2 has partnered with hundreds of dentists to help them stay in the driver's seat as they maximize their talents, connect as part of a community and build exceptional wealth. MB2 currently partners with affiliated practices in 24 states. For more information, please visit www.mb2dental.com.
