Tuesday, October 31, 2017

UC Giants Merge

Two large healthcare organizations announced the proposed merger of their respective urgent care operations.  Select Medical's Concentra and Dignity Health's U.S. Healthworks will come together to "strengthen the delivery of clinical care, standardize best practices and improve service for employers and employees." according to Dignity Chief Financial Officer Daniel Morissette. 

Dignity's subsidiary, U.S. HealthWorks, operates 250 occupational healthcare centers in 21 states whereas Concentra has 315 occupational health centers in 38 states. 

This transaction will build upon an early 2017 joint venture between Select Medical and Dignity.  The two giants will build and manage a Las Vegas area acute inpatient rehabilitation hospital due to open in 2019.  The joint operation also is expected to include 12 jointly run outpatient rehabilitation clinics.  >>Read more

Tuesday, October 10, 2017

Healthy M&A projected for Behavioral Health Sector

Market fragmentation continues in the behavioral health sector and so does its appeal among private equity firms. In a report by Stout, an advisory firm, interest in the sector has bounced back in 2017 after a lull in 2016.  In a recent transaction, The Halifax Group announced recapitalization of Florida-headquartered Delphi Behavioral Health Group LLCa leading substance abuse treatment provider.  Delphi led by CEO Dominic Sirianni and his management team will maintain an ownership position along with The Halifax Group.  >>Read more