Capital One has taken over Webster Equity Partners’ portfolio company, Discovery Behavioral Health. Court documents show that Capital One and its financial partner, HPS Investment Partners, found Discovery to be in default on $280 million of debt. Capital One took issue with a change in December 2024 in how Discovery calculated its debt-to-earnings ratio for quarterly financial compliance reports. This culminated in Capital One effectively seizing the company’s assets, dismissing its board and installing its own.
Read the full article: Capital One Seizes Control of Discovery Behavioral Health After Defaulting on Debt //
Source: https://bhbusiness.com/2026/02/09/capital-one-seizes-control-of-discovery-behavioral-health-after-defaulting-on-debt/