The California legislature recently passed a bill requiring private equity groups and hedge funds to give written notice, and in certain cases obtain consent, before investing in the state's healthcare industry.  

Private equity has long shown interest in ASCs, but some industry leaders believe that heightened scrutiny of PE’s healthcare investments could dampen this trend.

Becker's connected with Nilesh Dave, MD, vice president of clinical effectiveness and chief medical officer at Arlington-based Texas Health Resources to discuss the role of profit-driven companies in healthcare.

Private equity firms have solidified their place in healthcare over the last decade. 2012 saw just 75 PE transactions in healthcare –– in 2021, that number reached 484. 

VC funds are booming –– and their interest is turning increasingly toward healthcare.  

Private equity interest in ASCs is growing. Here are 10 things to know about PE and ASCs: 

As the healthcare market becomes increasingly competitive, whether due to staffing competition, rising labor and supply costs or economic pressures, many practices are partnering with larger entities, including private equity firms.

In June, U.S. Senators Elizabeth Warren and Ed Markey of Massachusetts introduced legislation targeting "corporate greed and private equity abuse" in the healthcare industry. 

Lawmakers in California are considering a bill that would create additional oversight for private equity companies attempting to purchase healthcare facilities, including ASCs.  

CVS Health is looking for private equity firms to help fund Oak Street Health's expansion and addition of new clinics, Bloomberg reported May 23. 

Private equity's interest in healthcare has boomed in recent years, and it remained a formidable force in the industry in 2023.

Here are 10 major private equity companies with hands in the ASC industry:

Private equity has been in the hot seat as its involvement in healthcare has been scrutinized by both federal agencies and physicians.

Here are five recent updates on private equity that Becker's has reported on in the last month:

More than 20% of the healthcare bankruptcies in 2023 were by private equity-backed companies, according to a new report from the Private Equity Stakeholder Project. 

Private equity firms spent $206 billion on healthcare ventures in 2022, according to a report by AMN Healthcare. That amount of cash flow has the potential to influence the ASC industry in a major way.

Audax Private Debt, a debt capital partner for middle market companies headquartered in New York City, was the most active North America-based lender in the healthcare sector in 2023, accounting for 58 transactions, according to a report by market research company PitchBook.

Private equity has been under the microscope recently as its role in healthcare is being questioned by federal agencies and physicians alike. 

More than 60% of physicians feel negatively about private equity's role in healthcare, MedPage Today reported March 11.

Private equity's presence in healthcare is changing, and ASCs can benefit from knowing how the financial players operate.