Physician Practice Acquisitions: Avoiding Legal Pitfalls

Summary

[This practice note is intended to be an informational resource and is not legal advice]. This practice note focuses on the unique merger and acquisition considerations applicable to physician practice acquisition transactions. Private equity firms and other strategic investors, including hospital systems, have been continuously active in acquiring and consolidating physician practices, particularly within specific specialties, for several years. Hospitals and health systems are looking for clinical integration and alignment with providers who share the health system’s mission and values. Private equity firms and other non-professional investors see the potential for explosive growth through scale, technology, and standardized clinical protocols across a large group of like-minded providers, including the ability to take advantage of innovative risk sharing opportunities within the broader healthcare ecosystem. Independent physician groups are faced with significant challenges. ...