Private equity buyer hires 2 Steward leaders: 5 things to know

Two former executives of Dallas-based Steward Health Care are now C-suite leaders at the private equity group that purchased the health system's physician practice, Boston Business Journal reported Nov. 26.

Five things to know:

1. The move drew criticism from Massachusetts Sen. Ed Markey, who outlined concerns in a Nov. 25 letter to the CEO of the private equity group. The group rebranded from Rural Healthcare Group to Revere Medical after acquiring Steward's practice purchase, the Business Journal reported.

2. The Senate's Health, Education, Labor and Pensions Committee, for which Mr. Markey serves as a subcommittee chair, has sought to hold former Steward CEO Ralph de la Torre accountable for issues that led to the health system filing for Chapter 11 bankruptcy in May.

"I am concerned that the same Stewardship executives who drove that healthcare provider into the ground will now take the reins at Revere Medical," Mr. Markey wrote in the letter. "These executives should not be permitted to fail up and place in jeopardy another healthcare provider on which Massachusetts residents will come to rely."

3. Andrew Herman, chief growth officer at Nashville, Tenn.-based Revere Medical, previously served as CFO of Steward Health Care Network and later held the same role at the Stewardship division, according to his LinkedIn profile.

4. Joseph Weinstein, MD, serves as Revere Medical's chief medical officer and previously held the same role at Steward Health Care since 2016, according to his LinkedIn profile.

5. Mr. Markey criticized the decision to retain Steward executives involved during what he described as the system's "disastrous financial and operational decline." He asked several questions in his letter, including how Revere Medical's executive team will differ from Steward's and what changes will be implemented to prevent past mistakes. He requested a response by Jan. 10.

Revere Medical was not immediately available for comment. This story will be updated if more information becomes available.

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