Becker's Healthcare May 16, 2024
Physician groups are continuing to consolidate, facing increasing pressure to access economies of scale.
Here are five major trends involving physician medical group transactions, according to VMG Health’s 2024 Healthcare M&A Report published May 7:
1. The volume of physician services transactions has been historically impacted by large regulatory changes, such as the passage of the Affordable Care Act in 2010 and the passage of Medicare Access and CHIP Reauthorization Act in 2015. As regulatory requirements increase, physicians are opting to align with larger groups to face the burden and expense of these changes. Private equity firms and management service organizations offer capital and business expertise to ease the burden of these pressures.
2. “Independent practices are struggling...