SSG Capital Advisors acted as the investment banker to Green Tree School & Services in the sale of all of its outstanding stock and its real estate to affiliates of Salisbury Management. The real estate transaction closed in June 2015 and the stock transaction closed in August 2015.

Green Tree is a non-profit organization that provides education and therapeutic clinical support to children and young adults who are diagnosed with autism spectrum disorder or with severe emotional disturbance. The organization was founded in 1957 and serves more than 350 children annually on site at its Philadelphia facility or in schools throughout the region, primarily in Philadelphia County. Green Tree receives revenue directly from school districts, other government-funded organizations and from third-party insurance payers so families do not pay tuition or any fees for services.

In 2011, in response to the increased demand for services and faced with facilities that were outdated, Green Tree decided to consolidate operations to one location. In order to fund the construction of a new building, the organization entered into an agreement with a regional bank for a significant construction loan and utilized a large portion of its reserve fund.

In the fall of 2014 Community Behavioral Health, which funds the organization’s behavioral health services, announced a major region-wide change that unilaterally decreased the reimbursable rate for the program. The combination of these changes severely impacted Green Tree’s liquidity and ability to service its debt on a standalone basis. As a result, management and the board decided to assess other options to help support the organization.

SSG was retained by Green Tree in January 2015 to evaluate strategic alternatives. SSG contacted a number of potential lenders to attempt to refinance the debt, and conducted a comprehensive marketing process to non-profit and for-profit organizations to determine if there was an interest in creating a partnership. While multiple organizations engaged in discussions regarding an affiliation or acquisition, the ultimate party chosen was Salisbury, a Baltimore-based behavioral health and special education organization with operations throughout Pennsylvania and Ohio. SSG’s ability to identify buyers and run a thorough sale process enabled key stakeholders to maximize value while preserving the legacy of Green Tree.