Dermatology Private Equity - Physician Growth Partners

Dermatology Private Equity – Market Update

Fall 2023


Dermatology remains one of the more mature specialties in terms of consolidation with accelerating investment activity since 2011. Though the early days of consolidation recede with each year, recent activity has seen several traditional consolidators recapitalizing for the next wave of growth. There is an increased appetite from existing PE-backed dermatology platforms in cosmetic/aesthetic dermatology and the establishment of new medspa and plastic surgery-focused platforms, revitalizing competition and strategic options in the space. The result is a “second wind” of private equity interest that may be extremely attractive for practices despite the mature activity that already exists in the market.

Despite a general contraction in overall M&A activity through mid-2023, the dermatology space has remained highly active due to the influx of new buyers to the market. This is contradictory to the activity we see in other mature specialties like eye care and dental. As a result, new platforms are taking unique approaches to differentiate themselves from their established competition, and longstanding leaders like Forefront are pivoting their strategy to accommodate the evolving market dynamics.


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While the market will continue to evolve, much has remained consistent with what we saw at this time last year, with consolidators coming together to plan for growth. Although some platforms have begun to emphasize organic growth and integration, most platforms continue to focus on building market density in their existing geographies while continuing to explore new market entries. This, supplemented by the explosion of cosmetic interest, has resulted in heavy M&A activity that we don’t expect to slow down any time soon. With an infusion of new capital, ample dry powder exists that is focused on the dermatology space and increased competition for attractive assets continues to create compelling opportunities for practice owners.

Overall, the dermatology market outlook remains strong and private equity partnerships continue to be an attractive option for physician owners looking to achieve their goals and succession plans. This is only enhanced by the shifting strategies of long-term players and the introduction of new groups looking to scale quickly to remain competitive with their more mature peers. These dynamics, alongside the capital that remains at work in the space, will continue to drive M&A activity in the near future. That said, when evaluating a potential private equity partnership, it is more important than ever to seek out experienced advisors who are well-versed in market conditions and the players who set them.


DateTargetBuyerPE Sponsor
7/27/23Refined AestheticsAlpha Aesthetics PartnersThurston Group
7/19/23Blush Med SpaAdvanced Medaesthetic PartnersLeon Capital
7/17/23Amara Med SpaBirch Medical SpasImperial Capital
7/13/23Lake DermatologySchweiger DermatologyLMK Partners
7/12/23New platformPremier Plastic Surgery partnersCorbel Capital Partners
7/10/23Pediatric Dermatology of Kansas CItyEpiphany DermatologyLeonard Green Partners
6/30/23Facile DermatologyPhyNet DermatologyCentury Equity Partners
6/15/23Genesis Medspa of Colorado springsPrinceton Medspa PartnersPrinceton Medspa Partners
6/13/23Olympus Cosmetic GroupNew platformVSS Cosmetic Partners
6/12/23Plastic Surgery Associates & Allegro MedSpaCosmetic Physician PartnersCosmetic Physician Partners
5/12/23Peachtree Dermatology AssociatesPhyNet DermatologyCentury Equity Partners
5/10/23Calkin & Boudreaux Dermatology AssociatesGolden State DermatologySorenson Capital
4/27/23Windsor DermatologySchweiger DermatologyLMK Partners
4/26/23Moy-Fincher-Chipps Facial Plastics/DermatologyGolden State DermatologySorenson Capital
3/7/23Surgical Dermatology GroupAQUA DermatologyGryphon Investors
1/30/23ADF, Advanced & First OC DermatologyDermCare ManagementHildred Capital Management
1/11/23PRMA Plastic SurgeryAdvanced Reconstructive Surgery AllianceWebster Equity Partners

About Our Firm

Physician Growth Partners (PGP) is a transaction advisory firm working exclusively with independent physician groups in transactions with private equity.

Differentiated Healthcare Transaction Advisors:

  • Senior partner involvement at every stage of the process
  • Extensive physician practice transaction experience
  • Unmatched relationships with all key private equity and strategic buyers interested in gastroenterology
  • Educational approach focusing on both partnership and cultural fit, while simultaneously achieving a market clearing valuation

Learn More About Dermatology Private Equity