Sentinel invests in ReachOut Healthcare America


Marks Sentinel's Third Investment in Dental Industry


NEW YORK, November 13, 2007 - Sentinel Capital Partners, a private equity firm that invests in promising, smaller middle-market companies, today announced an investment in ReachOut Healthcare America, the nation's leading provider of mobile dental services. Management and Sentinel are partners in the transaction, the terms of which were not disclosed.

"This is Sentinel's third investment in the dental care sector and second in mobile healthcare," said Paul Murphy, a partner at Sentinel. "We like to invest in market leaders in industries we know well, in partnership with highly motivated and ethical management teams. The ReachOut team, led by Michael Howell and Daniel Goldsmith, has created a successful and growing business, and one that truly benefits the communities in which it operates."

Founded in 2001 and based in Phoenix, AZ, ReachOut provides mobile dental services to under-served children in schools and foster programs, to the aged and disabled in residential facilities, and to US Army and National Guard units throughout the country. ReachOut provides dental service to nearly 80,000 children and 30,000 armed-services personnel each year. ReachOut offers a complete array of diagnostic, preventative, restorative, prostodontic, and periodontal dental services.

"ReachOut's unique model and first-mover advantage, coupled with favorable industry dynamics, make it a highly attractive investment," said Michael Fabian, a senior associate at Sentinel. "ReachOut leads a large and growing market that is significantly underserved, and its mobile model is scalable into numerous end-markets such as the military and nursing homes."

Previous Sentinel investments in the dental care sector include Castle Dental Centers, Inc., a leading dental services provider sold in 2004, and Metro Dentalcare, a multi-specialty dental group sold in September 2007. Sentinel has also invested in Interim Healthcare, the nation's largest provider of home health care and supplemental health care staffing services.

The ReachOut transaction is the latest in a highly productive period for Sentinel in terms of both new investments and realizations. To date in 2007, Sentinel has closed five new investments, three in the past two and a half months alone. These investments include Midwest Wholesale Hardware, a wholesaler of architecturally specified commercial door hardware; Trussbilt, an 80 year-old manufacturer of steel security products for the detention and corrections market; Inscape Publishing, a leading provider of corporate training solutions for employee assessment and development; Vintage Parts, the leading independent distributor of slow moving and inactive OEM replacement parts; and ReachOut.

For Sentinel, 2007 has also been a productive year for realizations. To date, Sentinel has sold three portfolio businesses, including Fasloc, the leading manufacturer of resin cartridges for use in underground mine roof support in North America; Metro Dentalcare; and Nivel Holdings LLC, North America's largest independent, value-added distributor of golf car aftermarket replacement parts and accessories.