Ontario Teachers’ beats PE rivals to Heartland Dental stake


Canadian investment giant the Ontario Teachers’ Pension Plan has beaten private equity firms KKR, Apax and Madison Dearborn to buy Heartland Dental Care, it is understood.

The $117bn LP has been favourite to pick up a stake in the asset for some time following the company’s decision to sound out buyers in September last year.

OTPP will buy a majority stake in Heartland according to Bloomberg, which said the deal valued the dental practice management company at $1.3bn.

Heartland chief executive Rick Workman will retain a minority stake along with management and employees, the two companies said in a statement.

The company, which is part-owned by Chicago-based private equity firm CHS Capital Partners, has EBITDA of about $120m.

It has more than 250 affiliated offices across 14 states providing business support for hometown dental offices including staffing, admin and IT support.

Last month mid-market private equity firm Linden Capital Partners bought South Florida-based Gentle Dental from The Beekman Group.

The company provides general, multi-speciality and cosmetic dental care throughout 21 outlets across the region.

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