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Private equity firm Advent International has agreed to acquire a majority interest in ATI Physical Therapy from KRG Capital Partners. Under the agreement, ATI’s current management team will continue to hold a “significant minority stake” in the company.

ATI, headquartered in Bolingbrook, Illinois, provides rehabilitation services, research-based physical therapy, workers’ compensation rehab, employer worksite programs and sports medicine. The company operates more than 500 clinics across 19 U.S. states.

ATI says having Advent as an investment partner will help it “successfully execute and accelerate” its expansion strategy. Meanwhile, Advent expects the outpatient physical therapy market, valued at $15 billion, to see continued growth, based on the needs of the aging population.

Dylan Bates, CEO at ATI, will continue to lead the company. Dr. Chris Krubert, operating partner at Advent, will join ATI’s Board of Directors. As an independent director, Krubert acts as an adviser to Advent and its portfolio companies. In this instance, Krubert brings nearly a decade of healthcare services experience to ATI’s Board, having had served as CEO of healthcare professional services firm, ApolloMD.

Financial terms of the acquisition—expected to close in second quarter of 2016—have not been disclosed. For ATI, Jefferies and UBS are serving as financial advisers, with Hogan Lovells acting as the company’s legal advisor. Barclays is serving as financial adviser to Advent, and Weil Gotshal & Manges LLC and McDermott Will & Emery are providing legal advisement to the company.

Health care-based targets have been gaining momentum in the middle market. In March, Bristol-Myers Squibb Company (NYSE:BMY) announced plans to acquire Padlock Therapeutics, a biotechnology company focused on creating medicines that address destructive autoimmune diseases; private equity firm GI Partners and Allscripts Healthcare Solutions Inc. (Nasdaq: MDRX) paired up to purchase software provider Netsmart Technologies Inc.; and PE-backer Apax Partners revealed it was buying a majority share of the respiratory business of Becton, Dickinson and Co. (NYSE: BDX), to form an independent company.

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