August 13, 2019
About the Deal:
DentaQuest, LLC, one of the nation’s leading oral health care organizations, has completed its acquisition of The Dental Care Plus Group (“DCPG”). Headquartered in Sharonville, Ohio, DCPG provides group dental benefits to small and medium-sized employers across the Midwest. Founded in 1986 by a group of dentists near Cincinnati, DCPG’s heritage is rooted in its provider-centric philosophy. DCPG has enjoyed substantial market share and provider network penetration in its core markets. Increasing regulatory complexity, combined with higher technology and compliance costs, led the Board of Directors to seek a strategic partner who recognized DCPG’s long-term viability as an operating platform.
The Baird Business Owner Solutions Approach:
DCPG originally retained Business Owner Solutions (“BOS”) in 2014 to help it evaluate a range of strategic alternatives. After reviewing the options then available, DCPG set out to diversify its offerings and grow geographically. In less than five years, DCPG expanded its footprint from three states to fifteen and boosted total annual premiums to more than $110 million. Along the way, BOS advised DCPG on various strategic and capital initiatives.
In 2018, DCPG’s board determined a sale was in all stakeholders’ best interest. BOS was charged with finding a buyer that would maximize value while pre-serving the DCPG culture, management team, employee base, and provider network.
After BOS completed an extensive marketing process that attracted a wide range of potential buyers, DentaQuest emerged as the preferred acquiror due to its close cultural alignment. DentaQuest also met the board’s requirements for retaining employees and preserving its provider network.