Proliferation of Radiology PPMCs
Proliferation of Radiology PPMCs: Their Strategies and Tactics, and Key Issues
Over the past several years, there’s been a resurgence across all medical specialties of so-called “PPMCs,” a commonly used acronym for investor-owned (often by private equity) physician practice management companies. As far back as 20 years ago, many of the early PPMCs were already struggling operationally and financially, and eventually many of them went into bankruptcy. Despite this ignominious history, a second (and perhaps even a third) generation of PPMCs has proliferated throughout medicine. Most recently, PPMCs (and other companies that emulate PPMCs) have sprung up in radiology. These “next generation” PPMCs tend to have different strategic objectives than their ancestors. Their tactics (and transactional structures) for achieving these objectives have some components in common with the old way of doing things, but they also have some new twists.
This presentation will be balanced; it will not advocate for or against radiology PPMCs. Rather, the learner will gain unbiased (albeit unvarnished) insight into the following:
1. The macro level catalysts within health care that are forcing change within radiology.
2. The history of PPMCs, and the rationales behind the recent proliferation into radiology.
3. Strategic objectives of today’s radiology PPMCs.
4. Tactics of the radiology PPMCs (how they do what they do).
5. Significant threshold issues that every radiology group has to work through.
6. What the transaction may look like, and the key documents, terms and conditions.
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