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22 BECKER'S DENTAL + DSO REVIEW // VOL. 2022 NO. 2 DENTAL SERVICE ORGANIZATIONS Private equity firms bite deeper into DSO field By Ariana Portalatin F ive new private equity-backed den- tal support groups have emerged in the last few months, showing the large presence and growing interest pri- vate equity companies have in the field. Private equity deals have been plentiful, with several taking place in 2021 and 2022. In addition to investments and ac- quisitions of private practices and den- tal companies, firms have been steadily launching DSOs nationwide. Private equity firm Shore Capital Partners kicked off February with the launch of OMS360, an oral surgery support orga- nization with affiliations in Kentucky, Ala- bama and Georgia. Oral surgery is particularly of interest to private equity firms, according to Viper Equity Partners. The investment and ad- visory firm said it is seeing "top dollar" deals that leave oral surgeons in charge of their practices while becoming share- holders and being paid 35 percent to 45 percent of their personal production af- ter a deal closes. In March, private equity firm Thurston Group formed a DSO by merging three dental groups based in the Southeast region: Dental Partners of Southwest Georgia, Garner Dental Group and South Georgia Dental Management. SGA Dental Partners is dentist-owned and led with 60 practices under its belt. Thurston Group also formed Gen4 Den- tal Partners in August 2021, consisting of five group practices at 15 locations across Arizona and Utah. The firm hailed the DSO as the "newest generation of DSO," that is clinician-centric and pa- tient-focused. At the time of the DSO's announcement, Thurston Group said Gen4 would exe- cute an aggressive acquisition plan. "Thurston will help to expand the com- pany's geographic footprint and deliv- er support and economic value to our doctor partners as we have historical- ly and serially accomplished in all of our past dental investments," said Pat- rick Haynes, founder and chairman of Thurston Group. Eau Claire , Wis.-based Simko Specialty Dental and private equity firm Blue Sea Capital partnered to create Specialty Smile Partners. The new organization will provide administrative support to Sim- ko's affiliated practices and guide the company through its continued growth. With DSOs having such a large presence in the dental industry, private equity groups are expected to continue show- ing their interest in the field. n Image Credit: Adobe Stock