The behavioral health industry continues to see significant activity as providers, private equity firms, and service organizations look for opportunities to expand their reach and strengthen service delivery. Recent transactions highlight how demand for autism therapy, intellectual and developmental disability (IDD) support, and drug monitoring solutions are shaping the future of the sector. Three notable deals—Cultivate Behavioral Health and Education’s acquisition of Progressive Behavioral Science, The Columbus Organization’s purchase of Advocates in Action’s assets, and Averhealth’s acquisition of Treatment Assessment Screening Center’s drug testing services—demonstrate the strategic shifts underway.
Cultivate Behavioral Health and Education Acquires Progressive Behavioral Science
Cultivate Behavioral Health and Education, a portfolio company of Imperial Capital, has completed its acquisition of Progressive Behavioral Science. While financial terms of the transaction remain undisclosed, the move represents a strategic expansion for Cultivate, which is headquartered in Austin, Texas. Cultivate specializes in applied behavior analysis (ABA) therapy for children with autism and delivers services in homes, learning centers, and community settings. Progressive Behavioral Science, based in South Florida, offers primarily in-home therapy along with supplemental center-based services.
By joining forces, the two organizations bring together a broader geographic footprint and complementary approaches to autism care. ABA therapy is widely regarded as the gold standard for children on the autism spectrum, focusing on skill development, social behavior, and adaptive learning. Demand for ABA has surged in recent years, driven by rising autism diagnoses, improved insurance coverage, and growing awareness among families about the benefits of early intervention.
The acquisition positions Cultivate to strengthen its service delivery model by integrating Progressive’s local expertise with its own established programs across Texas. For Progressive, the deal provides access to additional resources, capital, and infrastructure needed to expand its reach and enhance outcomes for families in Florida. More broadly, the transaction underscores private equity’s continued interest in ABA providers, which have become attractive investment targets due to consistent growth opportunities and favorable reimbursement trends.
The Columbus Organization Buys Assets of Advocates in Action
The second major transaction involves The Columbus Organization, a Wayne, Pennsylvania-based provider of professional staffing and consulting services. Columbus has acquired the assets of Advocates in Action, a New Jersey-based organization offering support coordination for individuals with intellectual and developmental disabilities (IDD). Again, financial terms of the deal were not disclosed.
Columbus has built its reputation as a trusted partner for agencies that serve the IDD population, supporting more than 140 agencies across 40 states with staffing, programmatic solutions, and consulting services. Its acquisition of Advocates in Action enhances its presence in New Jersey while broadening its ability to serve individuals who rely on coordinated support to access essential services.
Support coordination plays a vital role in helping individuals with IDD navigate complex systems, including medical care, social programs, education, and state-funded resources. By acquiring Advocates in Action, Columbus not only expands its service portfolio but also strengthens its mission of improving quality of life for individuals with IDD. The deal reflects a growing trend toward consolidation in the IDD sector, where organizations are increasingly looking to combine resources to provide more efficient and holistic support to clients.
For families and individuals in New Jersey, this acquisition could mean greater access to care coordination and improved outcomes. For Columbus, it reinforces the company’s strategy of acquiring specialized organizations that complement its staffing and consulting capabilities, thereby solidifying its role as a nationwide leader in IDD support services.
Averhealth Acquires Treatment Assessment Screening Center’s Drug Testing Services
The third transaction highlights ongoing transformation within the substance use monitoring sector. Richmond, Virginia-based Averhealth, in partnership with Five Arrows Capital Partners, has acquired the drug testing services of the Treatment Assessment Screening Center (TASC). Headquartered in Phoenix, Arizona, TASC is a nonprofit organization that has long been recognized for its innovative drug testing and behavioral health programs.
Averhealth currently serves 350,000 clients across 30 states, working with courts and social service programs to provide evidence-based substance use monitoring solutions. The acquisition of TASC’s drug testing services will expand Averhealth’s footprint in Arizona, Texas, and Utah while enhancing service delivery for existing TASC clients.
This move is particularly timely given the ongoing opioid epidemic and the increased demand for reliable drug monitoring services in both criminal justice and social service contexts. Courts, child welfare agencies, and treatment providers depend on accurate and timely drug testing to inform decisions about treatment, compliance, and family reunification. By integrating TASC’s services, Averhealth is positioned to improve testing efficiency, expand access, and introduce new innovations to a wider audience.
The transaction also reflects a broader trend of private equity investment in drug monitoring and related behavioral health services. With its partnership with Five Arrows Capital Partners, Averhealth gains not only financial backing but also strategic support to accelerate growth and enhance its national presence.
Industry Context: A Wave of Consolidation and Growth
Taken together, these three transactions illustrate several key dynamics currently reshaping the behavioral health industry. First, there is significant momentum in the autism therapy space, where ABA providers like Cultivate and Progressive are benefiting from rising demand, strong outcomes, and expanding payer support. Private equity firms are fueling this growth by providing capital for acquisitions, scaling operations, and developing new service models.
Second, the IDD services sector continues to experience consolidation as organizations like The Columbus Organization seek to bring together complementary providers. This trend is driven by the increasing complexity of care coordination, ongoing workforce shortages, and the need for more integrated solutions that can meet the diverse needs of individuals with IDD.
Finally, the substance use monitoring industry is also evolving rapidly, with companies like Averhealth leveraging acquisitions to broaden their reach and improve their technological capabilities. As courts and social service systems seek more effective ways to manage addiction-related challenges, partnerships with monitoring providers are becoming increasingly critical.
Looking Ahead
These transactions highlight the resilience and adaptability of the behavioral health industry, even amid economic uncertainty and public health challenges. Families of children with autism, individuals with IDD, and clients navigating substance use monitoring all stand to benefit from the expanded resources, expertise, and service capacity that these deals bring.
For investors, the ongoing consolidation represents both opportunity and responsibility. By investing in organizations that deliver high-quality, evidence-based services, private equity firms and strategic partners can play a pivotal role in shaping the future of behavioral health care. At the same time, providers must ensure that growth does not come at the expense of personalized care and community engagement, which remain central to effective outcomes.
As Cultivate Behavioral Health, The Columbus Organization, and Averhealth move forward with their respective acquisitions, their progress will be closely watched by industry stakeholders. These deals not only reflect the current trajectory of the behavioral health sector but also set the stage for continued innovation, collaboration, and growth in the years to come.
