3 1
J U N E 2 0 1 4 | O U T P AT I E N T S U R G E R Y M A G A Z I N E O N L I N E
Jerry Sokol, JD, and Danielle Golino, JD
LEGAL UPDATE
This Transaction Might Be Worth a Tri
Hospital-corporate-physician ASC deals benefit all investors.
T
ri-party ASC
deals benefit all
3 of the transac-
tion's investors —
physicians, ASC man-
agement companies
and hospital health
systems. Based on
current trends in the
surgical industry, they
also appear to be here
to stay. Here's an
overview of how they
work, and how they
benefit their partici-
pants.
The players and the
structure
Historically, the major
investors in the ambulatory surgery center market have been the
physicians who performed procedures in surgery centers and the ASC
management companies who specialized in optimizing their opera-
tional efficiency.
When hospitals began moving into ASCs in a big way a few years
ago, many observers saw this as a death knell for the management
companies. After all, what additional value could these corporate
partners bring to the table that an established health system couldn't?
Partnering with both a health
system and an ASC management
company lends physicians the clout
and skill sets of both, while still
letting them retain a large
ownership stake in their facility.
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