Nashville, Tenn., Columbus, Ind. and Bloomington, Ind. — Centerstone, Center for Behavioral Health (CBH) and Quinco Behavioral Health Systems, recognized national leaders in the behavioral healthcare industry, intend to join forces to create the largest provider of community behavioral health services in the United States. The three organizations today announced that they have executed a letter of intent to pursue a merger. Once the transaction is finalized, the combined organization will be known as Centerstone.
“Centerstone, CBH and Quinco share the important mission of helping those who struggle with mental health and substance abuse issues reach full recovery,” said Centerstone CEO David Guth. “By combining our resources, knowledge and expertise, we can provide more efficient and more effective services to our clients and become an even stronger advocate on behalf of those who need us.”
The combined Centerstone organization will have more than 120 locations in Indiana and Tennessee and approximately $110 million in annual revenues. It will employ more than 1,500 people and serve an estimated 70,000 individuals needing treatment for mental health and substance abuse issues.
“Quinco’s CEO Bob Williams and I have been working with our respective boards for several months to explore the possibility of combining our two organizations,” said Dennis (Denny) Morrison, Ph.D., CEO of CBH. “This past year, Bob and I visited David in Nashville to learn about his experience with previous Centerstone mergers. We were struck by our organizations’ similarities and complementary strengths and had a dynamic discussion about our potential to have a lasting impact and advance the care and treatment of people with mental illness by combining our organizational resources.”
Under the proposed agreement, CBH and Quinco will merge and become part of Centerstone. David Guth will become CEO of the Centerstone parent organization, which will be headquartered in Nashville, TN. Quinco CEO Robert (Bob) Williams, Ph.D., will assume the role of CEO for Centerstone in Indiana. Dr. Morrison will become CEO of Centerstone Research Institute, a new subsidiary that will oversee clinical research and information technology initiatives to improve treatment and clinical outcomes for patients. Robert (Bob) N. Vero, Ed.D., Centerstone’s current President and COO, will become CEO of Centerstone in Tennessee.
“This merger is very exciting for Quinco, CBH, Centerstone and our clients,” said Dr. Williams. “As one organization, we will have the ability to combine our collective experiences to advance behavioral healthcare – in each of the regions we serve and nationally.”
The combination of Centerstone, CBH and Quinco is expected to offer significant advantages for the organizations, including the ability to add specialized services and compete for large contracts with government payers and private insurance companies.
“Centerstone, CBH and Quinco share an extraordinary commitment to advancing the quality of care and services available to those struggling with behavioral health concerns,” said Dr. Vero. “This merger presents very exciting opportunities for us to explore new and innovative ways to provide an unmatched level of care to clients from all walks of life and across all income levels
Terms of the merger are being negotiated and due diligence is currently being conducted. The merger transaction is expected to be completed by March 31, 2008, pending the approval of the organizations’ boards.
Centerstone (www.centerstone.org), a not-for-profit organization, is the largest behavioral healthcare provider in Tennessee and the ninth largest in the nation. Serving the community for more than fifty years, Centerstone provides a full range of behavioral health and related educational services to individuals of all ages and their families. Centerstone is devoted to research that seeks to identify, treat and eliminate mental illness. Centerstone provides services to more than 50,000 individuals annually. Children, adolescents, adults, seniors, and families all receive help from a multitude of different programs in more than 75 facilities and 150 partnership locations throughout the region. For more information about Centerstone, please call 615-460-4357 or toll free at 888-291-4357.
About Center for Behavioral Health
The Center for Behavioral Health offers a complete range of outpatient counseling and therapy services to individuals, families, and couples, for all age groups. A wide variety of services covered includes those for: depression, stress, panic disorders, alcohol and chemical dependencies, phobias, child behavior disorders, grief psychiatry, 24-hour emergency services, vocational and residential services, older adult services, etc. Treatment is specifically designed for each client and their needs. CBH hours are Monday through Friday from 8-5. Services are provided in the evening and weekend by appointment only. For more information, please call (812) 339-1691 or (800) 233-8802, or visit our Web site at www.the-center.org.
About Quinco Behavioral Health Systems
Quinco Behavioral Health Systems has existed for 50 years and is a private, not-for-profit behavioral health provider organization serving 7 counties with 27 facilities in south central Indiana. Last year Quinco provided a full range of behavioral health services including individual, group, outpatient, intensive outpatient, case management, and residential services to over 10,000 families and individuals of all ages. Quinco also provides employee assistance program and managed behavioral health services to businesses in 11 states. For more information about Quinco visit www.Quincobhs.org. For initial appointments call Quinco at 812-379-2341 or toll free 800-266-2341.