MedCity News March 30, 2025
Marissa Plescia

A new report from the Private Equity Stakeholder Project reveals that private equity firms have been increasingly acquiring intellectual and developmental disability providers and implementing cost-cutting strategies that reduce care quality.

It’s well known that private equity has been staking its claim in healthcare. Private equity acquisitions of U.S. physician practices increased six fold from 2012 to 2021.

A new report reveals private equity’s impact on a more vulnerable area of healthcare: intellectual and developmental disability services (IDD). The report released last week is from the Private Equity Stakeholder Project (PESP), a nonprofit watchdog following the private equity industry.

It examines several case studies of private equity-owned IDD providers, including:

  • Sevita (owned by Centerbridge Partners and Vistria Group)
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