Private Equity

For the independent practices out there, it’s natural to wonder at some point if you should consider selling. But where to begin?

As we all know, consolidation in the physician practice space, most often by platforms backed by private equity, has been occurring, and arguably increasing, for several years now.

In recent years, more and more eye care practices are becoming part of private equity groups, and as a result, more optometrists are growing familiar with this business model.

Capital Digestive Care did not go the route of private equity, but it did go the route of a strategic partner.

Many physicians have looked at different organizational structures for joint ownership. I would never propose that there is a one-size-fits-all for the different gastroenterology groups out there.

We at Gastro Health are major advocates for consolidation. We did our first consolidation in 1993 when we added two groups and grew from 6 to 13 physicians.

We are still looking for a good private equity partner who will help us grow — and by grow, I mean expand geographically into markets where it strategically makes sense. We also want to expand organically in places we currently exist.

To understand our position against joining a private equity-backed platform at this time, we must start with the basics — and that means considering our local situation.

David J. Jacofsky, MD, discusses the private equity model for orthopedic surgery practice consolidation, as well as other consolidation models physician practices can consider.

In this video, David J. Jacofsky, MD, CEO of Healthcare Outcomes Performance Company, discusses market factors that are driving the current increase in orthopedic surgery practice consolidation.