GI consolidation in 2019: PE and other deals thus far
Towards the end of 2018, we saw two back-to-back PE platform announcements: The GI Alliance (by Texas Digestive Disease Consultants) and United Digestive (by Atlanta Gastroenterology Associates). That seemed to have laid the ground for deals in 2019.
It has been a busy year for GI consolidation. Sometimes we don’t realize the pace of activity unless we look at it all at once (see the illustration above).
Here’s the list:
February 2019: Gastro Health acquiring Gastroenterology Specialists, continuing Florida expansion efforts — 4 insights (Becker’s ASC)
April 2019: Birmingham health group acquired by Miami-based Gastro Health (Birmingham Business Journal)
May 2019: $130M private equity deal to unite 3 GI practices, create 7th largest group in US (Becker’s ASC) – * 4th PE-funded GI platform
August 2019: Physicians Endoscopy, Capital Digestive Care team up to create management platform (Becker’s ASC) – * Alternative to PE funded platforms
September 2019: GI Alliance partners with Southeast Texas Gastroenterology Associates — 4 insights (Becker’s ASC)
September 2019: Gastro Health acquires Puget Sound Gastroenterology, a premier provider serving the Seattle area (Yahoo Finance)
October 2019: Arizona Digestive Health joins GI Alliance (PR Newswire)
November 2019: United Digestive expands in Georgia, partners with the Center for Digestive & Liver Health (Business Wire)
November 2019: GI Alliance partners with Amarillo Endoscopy Center — 3 insights (Becker’s GI & Endoscopy)
November 2019: Gastro Health establishes platform for growth in the Mid-Atlantic through acquisition of Gastroenterology Associates of Northern Virginia (Gasto Health website)
Expect more announcements in the coming weeks and months. My sources tell me there are at least 16-20 deals in the works.
By Praveen Suthrum, President & Co-Founder, NextServices.