Despite some recent public missteps from high-profile ABA therapy providers, investor interest in autism services remains strong. In fact, many experts believe that Autism Therapy M&A Trends 2024 point to a critical year of transition, especially for companies nearing the end of their investment cycles.
A surge in mergers and acquisitions (M&A) is anticipated this year, largely because many ABA and autism-focused providers completed their last transaction between 2017 and 2019. Now, in 2024, private equity firms that backed these companies are reaching the end of their typical five- to seven-year investment period—and they’re considering exits.
“As you think about the typical investment period, for those capital partners, a number of them are thinking about an exit in 2024,” said Christian Chauvet, a partner at Lee Equity, during a recent Behavioral Health Business webinar. “We suspect we’ll see that activity materialized at some point this year.” This insight aligns with what we’re seeing in Autism Therapy M&A Trends 2024: a market ripe for movement, despite the volatility of recent years.
Learning from the Past: The CARD Cautionary Tale
Of course, it’s impossible to talk about Autism Therapy M&A Trends 2024 without mentioning the bankruptcy of The Center for Autism and Related Disorders (CARD). Once a dominant force in ABA, CARD’s collapse just five years after Blackstone’s $700 million investment sent shockwaves through the industry. This event shook investor confidence and made many private equity firms wary of pouring capital into the space too hastily.
“We certainly see some buyers that are clearly still looking at it,” said Dexter Braff, founder and president of The Braff Group. “And we see some buyers that just feel burned by it.” But not all investors have left the table. Instead, the market is shifting toward a more cautious, performance-driven approach—which is precisely what’s driving Autism Therapy M&A Trends 2024.
What Investors Want in 2024
As capital becomes more selective, buyers are asking sharper questions. Who’s delivering measurable outcomes? Are companies retaining staff and managing wage increases sustainably? These are the factors separating investable ABA providers from those seen as risky.
“I think for entrepreneurs who have businesses, it’s going to be all about the results,” Chauvet noted. “Have you been able to attract and retain technician talent? You need to service the patient base. What’s happening with year-over-year wage increases? If those results are conducive to a growth investment thesis, we think capital will flow into the sector.”
In other words, the focus of Autism Therapy M&A Trends 2024 is no longer on scale alone—it’s on solid operations and long-term viability.
School-Based Services Gain Traction
One of the most interesting developments in Autism Therapy M&A Trends 2024 is the rising investor interest in school-based ABA services. Historically overshadowed by center-based models, school contracts are now seen as more stable and cost-effective.
“Buyers are much more open to and interested in school-based services than two years ago,” Braff said. The appeal lies in the steady client base and lower acquisition costs. Providers that land school contracts can serve large populations with greater operational consistency.
“In those school-based business models, you’re able to guarantee hours,” Chauvet added. “It’s easier for the caregiver to get ingrained in that setting and community.” This boost to staff retention—one of the sector’s biggest challenges—makes school-based ABA a hot topic in Autism Therapy M&A Trends 2024.
Private Equity Still Has Appetite—But It’s Picky
While some investors have hit pause, others are actively scouting for well-run ABA businesses. Lee Equity, for example, has made strategic behavioral health investments before, including in Bradford Health and Eating Recovery Center. They—and firms like them—are evaluating Autism Therapy M&A Trends 2024 with a sharper eye on execution and fundamentals.
Gone are the days of growth for growth’s sake. The new wave of M&A will reward transparency, efficient workforce models, and proven clinical outcomes. Companies with a solid foundation, even if they aren’t massive in scale, will likely fare better in 2024.
What This Means for ABA Providers
If you’re an entrepreneur or executive in the autism space, Autism Therapy M&A Trends 2024 should be on your radar—not just as a buzzword, but as a reality check. Whether you’re aiming for a strategic sale or simply trying to attract new funding, this year is about showing investors that your business is built to last.
- Focus on operational performance
- Track and report clinical outcomes
- Invest in staff retention strategies
- Explore school-based service models
As the Autism Therapy M&A Trends 2024 unfold, the companies that align their business models with long-term sustainability and measurable success will be the ones that attract attention—and capital.
The Road Ahead
While the past few years brought volatility, Autism Therapy M&A Trends 2024 suggest the industry is entering a new phase—one that prizes stability, community partnerships, and strategic growth. The investors who remain are those willing to look beyond hype and into the mechanics of real, impactful service delivery.
For providers who’ve weathered the storms, this could be the year that rewards patience and perseverance. And for investors, 2024 might just be the year when smart capital finds its best return in meaningful autism care.
