The behavioral health market—including psychiatry, therapy, and counseling practices—is experiencing a major resurgence in M&A activity in 2025. After a couple of cautious years, deal flow is accelerating rapidly, driven by unprecedented demand, technology adoption, and a flood of capital returning to the space. Whether you run a counseling center, group psychiatry practice, or multi-specialty behavioral health clinic, now is a critical moment to consider your next move—whether that’s growth, transition, or exit.
At Evergreen M&A, we work exclusively with founder-led healthcare and consumer businesses. We help owners navigate the entire sale process with confidence—positioning your business, running a competitive process, and negotiating terms to maximize your outcome. Our clients see, on average, a 38% increase in offers from the first to final round of bidding. If you’re thinking about the next chapter, we’re here to help you explore your options without pressure.
Behavioral health M&A volume is up over 50% in the first half of 2025 compared to late 2024, according to industry analysts. Notably, deal activity involving outpatient counseling practices and group therapy clinics has increased sharply, fueled by both demand and scarcity. Platforms and investors are eager to partner with high-quality providers in mental health, but inventory is limited.
The recent boom includes deals across:
Outpatient therapy and counseling practices
Group psychiatry practices
Telehealth psychiatry and therapy platforms
Substance use disorder (SUD) and MAT programs
ABA and autism services
The strongest demand is for scalable outpatient models with strong clinician retention and a diversified payer mix. Group practices with 5+ providers, recurring revenue, and EMR infrastructure are particularly attractive to both strategic buyers and private equity-backed platforms.
Valuation multiples for behavioral health and counseling practices have rebounded to pre-2022 levels, especially for clinics with strong infrastructure and leadership in place:
| Practice Type | Valuation Range (EBITDA Multiple) |
|---|---|
| Outpatient Counseling & Therapy | 6.5x – 9x |
| Group Psychiatry | 7x – 10x |
| Teletherapy / Telepsychiatry | 8x – 11x |
| ABA / Autism Services | 7x – 10x |
| SUD / Residential Treatment | 5x – 8x |
Several major platforms are expanding aggressively across the U.S., and they’re actively seeking partnerships with independent counseling and psychiatric providers:
LifeStance Health – Resumed acquisitions with a focus on outpatient psychiatry and therapy, expanding its network across over 30 states.
Thriveworks – Acquired Synchronous Health and is integrating AI and teletherapy across its nationwide footprint.
Refresh Mental Health (KKR-backed) – Pursuing partnerships with regional counseling and group therapy practices, especially those out-of-network or cash-pay.
Acadia Healthcare – Making select tuck-ins in outpatient mental health and SUD services.
Iris Telehealth – Consolidating telepsychiatry market share via acquisitions and partnerships.
Private equity firms are also forming new platforms focused on counseling and outpatient therapy, especially in underserved regions such as the Southeast, Midwest, and Southwest.
Even as deal activity increases, many practice owners hesitate—thinking they’re too small, too early, or too busy to consider a transaction. But waiting can limit your options. Here are a few common blind spots we see:
Assuming the market will stay this strong – With interest rates still elevated and future reimbursement in flux, today’s valuations aren’t guaranteed tomorrow.
Thinking you have to sell 100% – Many transactions are structured as growth investments, allowing founders to stay on, keep equity, and benefit from the next phase of growth.
Underestimating timeline – A successful transaction can take 6–12 months (although we are usually able to run our process in 3-4 months). Starting the process early allows for better positioning and optionality.
If you're even thinking about a transition in the next 1–3 years, now is the time to start exploring.
Evergreen M&A works exclusively with founder-led companies in healthcare and consumer services. With over 100 successful transactions and deep relationships across the investor landscape, we help practice owners understand their options, position for a premium, and run a process that delivers the best financial and personal outcome—without pressure.
Our team manages the entire sale process for you, from outreach to negotiation, and ensures your story is told the right way. We’ve helped founders like you achieve industry-best valuations while preserving their legacy and team culture.
If you're a founder of a counseling or behavioral health practice and wondering what your business could be worth—or whether now is the time to grow, de-risk, or exit—we’d be happy to share what we’re seeing in the market.
2025 is shaping up to be a landmark year for deals. Let’s make sure you don’t miss it. Text or call Senior Advisor, Hannah Huke at 617.470.3462 or email hannah@evergreenforfounders.com.