Seaside Health System of Baton Rouge Acquired by The Graph Group (~6.2x EBITDA)
- Will Hamilton
- Jun 3, 2025
- 2 min read
Updated: 4 days ago
On May 30, 2025, The Graph Group, a New Jersey-based healthcare investment firm, announced the acquisition of the acute and intermediate behavioral health services division of Seaside Health System of Baton Rouge, a long-standing inpatient psychiatric provider in Louisiana. Seaside Health System, part of the broader Seaside Healthcare platform backed by Pharos Capital Group, operates a licensed psychiatric facility offering 24/7 inpatient psychiatric stabilization and partial hospitalization programs focused on adult mental health and substance use care in Baton Rouge and surrounding markets.
For The Graph Group, the acquisition augments its foothold in the behavioral health provider space by adding a facility with a continuum of acute and intermediate psychiatric services, expanding geographic coverage into the Gulf South and underpinning its strategy of consolidating hospital-level specialty care assets. The separation of Seaside’s asset base into differentiated strategic buyers underscores an emerging trend of carve-outs that match asset profiles with operators best positioned to drive value and scale (acute hospital capabilities with The Graph Group and HCBS/outpatient care with SUN Behavioral Health) highlighting nuanced investor plays within the behavioral health sector’s evolving value chain.
Psychiatric Hospital EBITDA Multiples
According to the press release, the purchase price was $7.3 million. Per the cost reports, the hospital generated FY 2024 revenue and EBITDA of $15.4 million and $1.2 million, respectively, implying multiples of 0.5x revenue and 6.2x EBITDA.
Behavioral Health M&A Deal Volume
The number of announced U.S. behavioral health deals was relatively high for each of the first three quarters of 2025, approximating the best quarters ex the 2021 boom. Activity in the mental health and intellectual disability sub-segments remain strong, while addiction services volumes remain relatively weak after sharp declines in 2022 and 2023.
Other Behavioral Health Deals
Read Scope Research's take on other behavioral health M&A transactions:
About Scope Research
The Scope Research Healthcare M&A Valuation Database currently has financial details for 135 behavioral health deals going back to 2010, 83 of which include reported EBITDA multiples. The behavioral health data can be purchased individually, while our affordable annual subscriptions provide access to all of our healthcare M&A databases and segments, updated continuously.
Don't hesitate to reach out to Will Hamilton at will@scoperesearch.co with questions about your specific situation.
