M&A activity within the Behavioral Healthcare sector continues to rise given the favorable industry dynamics. Transaction levels remain elevated as 2015 saw a record number of deals in the industry. Of the 43 transactions completed, 33 were completed by strategic buyers and 10 by financial buyers. Strategics made acquisitions to penetrate new geographies and/or add new programs/services to their existing platforms. Certain private equity groups made add-on investments as part of their roll-up strategy while other groups made platform investments as an initial entrance into the industry.