Annapolis, MD – Anne Arundel Dermatology Management (“ADM” or the “Company”), a portfolio company of New MainStream Capital (“NMS”), announced today that it has partnered with Knoxville Dermatology Group, P.C. (“KDG”). Founded in 1971, KDG is one of the largest private practice groups of board-certified dermatologists in Tennessee. Led by Drs. Lee Dittrich, George Keough and Matthew Hanggi, KDG has been providing outstanding patient care in general, surgical and cosmetic dermatology services to the East Tennessee market for over 40 years. Drs. Dittrich, Keough and Hanggi will continue to lead KDG, which will serve as the foundation for ADM’s expansion in Tennessee and will now benefit from the administrative support provided by Anne Arundel Dermatology Management.
ADM completed the acquisition of Excel Dermatology (“Excel”) in Vienna, Virginia, a provider of general and cosmetic dermatology services, earlier in the year.
“This is a very meaningful partnership for ADM, KDG is a well-known and highly respected practice with a phenomenal clinical and support team focused on providing high-quality patient care,” said Ed Ponatoski, Chief Executive Officer of ADM. Scott Mahosky, Chief Operating Officer of ADM added, “We are thrilled to expand into a new and growing market; joining forces with a high-caliber team to replicate our success in Maryland and Virginia.”
Dr. Matt Hanggi commented, “KDG evaluated a number of different partners to assist us with our next phase of growth. Anne Arundel Dermatology stood out for us; emphasis on patient care, support and resources afforded to the clinical team, and approach to growth were all important factors for KDG and ADM checked those boxes. Our practice and our patients will benefit tremendously from the commitment of ADM to support our future growth and expansion plans.”
David Peterson, Principal at NMS, added, “KDG exemplifies the type of partner ADM seeks; a market-leading group led by experienced physicians, known for excellent patient care. Furthermore, this transaction continues the Company’s expansion beyond the Mid-Atlantic into key, strategic markets, becoming a leading, multi-regional dermatology practice group. Additionally, the acquisition of Excel highlights the Company’s commitment to growth and consolidation in existing markets. With the addition of KDG and Excel, ADM now provides support services to 29 clinic locations across three states and over 70 providers.”
As part of the affiliation, both KDG and Excel will benefit from ADM’s extensive administrative and support services, including investments in information technology and electronic medical records, revenue cycle management, payer credentialing and contracting, compliance and reporting, human resources, business development and finance.
About Anne Arundel Dermatology
Anne Arundel Dermatology is a leading provider of dermatological services in Maryland, Virginia and Tennessee. Headquartered in Severna Park, Maryland and with 29 locations and over 70 providers, ADM is the largest dermatology practice in the state of Maryland providing a comprehensive suite of dermatologic services, offering general dermatology, advanced treatment options for skin cancer and cosmetic procedures.
About New MainStream Capital
New MainStream Capital is a New York headquartered private investment firm specializing in strategic equity investments and leveraged buyouts of lower middle market companies. The Firm was formed through the spin-out of a group of portfolio companies from the Goldman Sachs Merchant Banking Division. NMS focuses on companies headquartered in the U.S. poised to benefit from sustainable growth trends with particular concentration on companies in Healthcare Services and Specialized Business Services.