H2 Health, a Grant Avenue Capital-backed physical therapy provider, is exploring a sale via Jefferies, according to three sources familiar with the matter.

The Jacksonville, Florida-based company is marketing itself off around USD 25m-USD 30m in EBITDA, the sources said. The process is in the early stages, with indications of interest collected this month, two of them added.

H2 Health provides physical therapy and other rehabilitation services through more than 190 clinics in 11 states, according to its website. Generally speaking, larger platforms can command a multiple of up to 12x EBITDA or more in some cases, one of the sources noted.

Grant Avenue acquired Heartland Rehabilitation and Milestone in early 2020 from HCR ManorCare and rebranded the two companies as H2 Health. At that time, Heartland had 60 centers in seven states. Milestone, a healthcare staffing company, is non-core to H2 Health and is being wound down, according to two of the sources.

H2 has grown partly through acquisitions, purchasing Back to Work Physical Therapy earlier this year and Greg Ott Center for Physical Therapy, Advanced Physical Therapy and Physical Therapy Today in 2023.

H2 Health did not respond to requests for comment. Grant Avenue and Jefferies declined to comment.