Medical Aesthetics Private Equity - Physician Growth Partners

Medical Aesthetics Private Equity – Market Update

Fall 2023


While early on from a consolidation standpoint, the medical aesthetics sector continues to draw significant healthcare private equity focus, supported by both favorable demographic tailwinds and strong, consistent consumer trends even in times of a challenging macroeconomic environment.

Private equity investors continue to seek medical spas as an investment opportunity, an area still highly fragmented (90% of MedSpa’s are not associated with institutional capital). The fragmentation paired with attractive sector characteristics (i.e., cash pay, discretionary spending risk, recurring revenue streams – both primary and ancillary service lines, model replicability / expansionary opportunity) puts medical aesthetics at the forefront of the consolidation wave to come.

Interested in how private equity can help your Medical Aesthetics practice?

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Given the lack of scaled platforms available in the market, it is likely that healthcare private equity investors will look to start smaller from an asset perspective and build upon that thesis through mergers & acquisitions and De Novo expansion. That being said, the medical aesthetics sector is in the early innings of consolidation and economic consideration for a MedSpa owner today in a transaction remains highly attractive. Folks looking to partner with a private equity firm should expect immediate benefit to further drive the value of their business (i.e., back-office consolidation, access to capital, supplier leverage, recruitment focus, etc.).

PGP expects significant interest to continue throughout 2024 and for years to come, providing material opportunity for independent owners and operators to capitalize on. When exploring private equity partnerships, it is imperative groups consider key factors such as maintaining clinical autonomy, creating a local governance structure, and ensuring all physicians are involved in the value creation process.

Recent Medical Aesthetics Transactions

Date TargetPE SponsorPlatformState
September 2023Renewal Skin SpaBridgeway ManagementThe Skin CenterMI
September 2023Artistry of FaceShore Capital PartnersEmpower AestheticsNY
September 2023Dr. Brian Biesman M.D.Persistence Capital PartnersMedSpa PartnersTN
July 2023Empower AestheticsShore Capital PartnersEmpower AestheticsTX
June 2023Holden Timeless Beauty Thurston GroupThurston GroupCA
June 2023Refined AestheticsThurston GroupAlpha Aesthetics PartnersVA
May 2023Glo Medspa Leon Capital Partners Advanced MedAesthetic PartnersNC
April 2023Esthetics CenterAlpha Aesthetics CenterThurston GroupCA
April 2023Faces of South TampaMedSpa PartnersPersistence Capital PartnersFL
March 2023SkinjectablesPrinceton MedSpa PartnersPrinceton Equity GroupAZ
March 2023Destination AestheticsAdvanced Medaesthetic PartnersLeon Capital GroupCA
February 2023SkintasticPrinceton MedSpa PartnersPrinceton Equity GroupFL
February 2023Dr. Shino BayMedSpa PartnersPersistence Capital PartnersFL
February 2023The Aesthetic CliniqueAdvanced Medaesthetic PartnersLeon Capital GroupFL
February 2023Main Line Center for Laser SurgeryAdvanced Medaesthetic PartnersLeon Capital GroupPA
February 2023Advanced Skin & Body SolutionsMedSpa PartnersPersistence Capital PartnersWA
February 2023Dr. Dorris DayMedSpa PartnersPersistence Capital PartnersNY
February 2023Reflections Center for Cosmetic MedicineAdvanced Medaesthetic PartnersLeon Capital GroupNJ

About Our Firm

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

PGP has completed 15+ transactions in the last 12 months. Our firm is differentiated by:

  • 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 Medical Aesthetics
  • Educational approach focused on partnership and cultural fit + achieving a market-clearing valuation

Relevant Physician Practice Transaction Expertise

Learn More About Medical Aesthetics Private Equity