Welsh, Carson, Anderson & Stowe and Emergency Medicine Physicians have partnered to launch US Acute Care Solutions (USACS). USACS is tasked in building a national provider of emergency medicine and hospitalist services. EMP’s Medical Group and practice management operations will become the operational foundation for USACS.
Historically, according to WCAS, independent emergency medicine groups had only two strategic alternatives: sell their practice or face a challenging healthcare environment alone. USACS will offer practices and hospital systems a third option, which is to partner with a company led by physicians but with the resources, business support and capital of a substantial enterprise.
“The creation of US Acute Care Solutions puts physician ownership front and center in a unique partnership with strong operational capabilities and an experienced capital partner in WCAS,” said Dominic Bagnoli, MD, chief executive officer, EMP and USACS. “WCAS has a track record of partnering with physicians and major integrated delivery systems to build market leaders, like they’ve done with US Anesthesia Partners, United Surgical Partners, US Oncology and many others.”
EMP is one of the largest physician-owned emergency medicine practices in the country, with more than 800 doctors and 300 practice providers. EMP provides emergency care to over 2.7 million patients each year at 64 hospitals in 15 states, and is aligned with hospital systems across the country. EMP was founded in 1992 and is headquartered in Canton, OH (www.emp.com).
“EMP really fits all of our criteria for a partner,” said Brian Regan, General Partner, Welsh, Carson, Anderson & Stowe. “Their providers consistently deliver great care in emergency departments across the country, and their doctors are highly engaged as partners and owners. They’re innovators and have reinvested in their profession and their business.
WCAS is focused exclusively on investments in business, information and healthcare services. Since its founding in 1979, WCAS has organized 16 limited partnerships with total capital of over $21 billion. The firm is based in New York (www.welshcarson.com).
The partnership agreement between EMP and WCAS, which was approved by EMP’s Board of Directors and shareholders, is expected to close in second quarter of this year.
Ulmer & Berne is serving as legal counsel to EMP. Ropes & Gray and Alston & Bird are serving as legal counsel to WCAS.
© 2015 PEPD • Private Equity’s Leading News Magazine • 4-14-15