Brentwood, Tenn.-based LifePoint Health, owned by private equity firm Apollo Global Management, received $941 million in Medicare loans and $535 million in federal grants, which do not have to be repaid. A LifePoint spokesperson told Bloomberg that the company needed the federal relief aid to help cover higher expenses and lost revenue tied to the pandemic.
Los Angeles-based Prospect Medical Holdings, owned by Leonard Green & Partners, received $234 million in loans and $141 million in federal grants, according to analysis by Bloomberg.
Dallas-based Steward Health Care, financed by Cerberus Capital Management, got $427 million in loans and $248 million in grants. In May, Steward transferred ownership to a group of physicians, according to the report.
Though the hospital chains qualified for the relief aid, some lawmakers have raised concerns about private equity-backed healthcare companies receiving federal COVID-19 relief aid.
Access the full Bloomberg article here.
More articles on healthcare finance:
10 recent hospital credit downgrades
OIG tags Arizona hospital for erroneous billing
8 latest hospital closures
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.