Physician groups are the largest source of growth in healthcare mergers and acquisitions with a 200 percent increase in M&A activity from the second quarter of 2010 to Q2 2011, according to a news release by Irving Levin Associates.
The firm reported 27 physician practice deals in Q2 2011 compared to nine during the same time in 2010. The segment has also seen significant short-term growth — a 50 percent increase from Q1 2011, when 18 deals were reported.
"Hospitals continue to digest the new healthcare reform law and to wrestle with its implications. One conclusion they have drawn is, come what may, there is strength in numbers. Accordingly, they are buying other hospitals and physician medical groups to build up local and regional systems, implement ACOs — accountable care organizations — and share financial risk and reward through a more diversified provider network," Stephen M. Monroe, managing editor at Irving Levin Associates, said in the release.
Read the Irving Levin Associates news release on healthcare M&A.
Kansas Medical Center Acquires Cypress Heart
Lourdes Health System Acquires South Jersey Heart Group
The firm reported 27 physician practice deals in Q2 2011 compared to nine during the same time in 2010. The segment has also seen significant short-term growth — a 50 percent increase from Q1 2011, when 18 deals were reported.
"Hospitals continue to digest the new healthcare reform law and to wrestle with its implications. One conclusion they have drawn is, come what may, there is strength in numbers. Accordingly, they are buying other hospitals and physician medical groups to build up local and regional systems, implement ACOs — accountable care organizations — and share financial risk and reward through a more diversified provider network," Stephen M. Monroe, managing editor at Irving Levin Associates, said in the release.
Read the Irving Levin Associates news release on healthcare M&A.
Related Articles on Physician Practice Acquisitions:
Virginia's Valley Health Acquires Cardiology GroupKansas Medical Center Acquires Cypress Heart
Lourdes Health System Acquires South Jersey Heart Group