Dentalcorp $DNTL.V

Open wide…for a dental rollup!

Upfront disclosure: I currently own a small number of shares in this business. None of this is financial advice but rather a way for me to write out what I think at the time.

Have you ever wondered what it would be like to own a business that could potentially continue to grow for the next few decades, consistently get repeat business and not be put at risk by economic recessions? An interesting small-ish company that is relatively unknown could be of interest to you! Read on for more on Dentalcorp.

What do they do?

Dentalcorp has been buying and operating dental practices in Canada since 2011. They have just recently become public in 2021 at around a 2.5 billion Canadian dollar valuation. They started with just a few practices and have steadily grown to over 400 locations in Canada. They have focused on dentistry and related services and will continue to do this for the foreseeable future.

The company has grown to have about 3% of the total Canadian market and don’t really have any sizable competition. They claim that approximately 95% of the market in Canada is still privately owned individual practices, mostly owned by one or several of the dentists running the shops.

They have recently raised funds to support operations as well as future growth prospects. The IPO on the TSX venture exchange raised just shy of a billion dollars to restructure some of the company’s debt and fuel future acquisitions.