Cardiology, much like many other sectors of the healthcare industry, have been affected by the infusion of private equity capital into the space.
According to a survey from November 2024, nearly 50% of all private practice cardiology practices were part of a private equity portfolio. From 2013 to 2023, private equity firms acquired more than 340 cardiology clinics, with the vast majority of those transactions happening since 2021.
The growth of Medicare to cover interventional cardiology procedures at outpatient centers and ASCs will likely continue to grab the attention of private equity firms as they look for new opportunities.
“Medicare expansion of interventional cardiovascular procedures to the outpatient schedule and to ASCs is changing the sites of care and attracting hospital systems and private equity. Both strategy and tactics are required to leverage this for providers and patients,” said Joaquin Cigarroa, MD, of the Oregon Health & Science University in Portland, at the recent Society for Cardiovascular Angiography and Interventions’ 2025 Scientific Sessions.
Vance Chunn, CEO of Mobile, Ala.-based Cardiology Associates, is predicting the continued shift of cardiology procedures to outpatient settings, even if the move is more of slow march rather than a mad dash.
In the immediate future, the growth will be driven largely by private equity-backed and physician-led ASC models, with a more substantial transition years down the line, Mr. Chunn told Becker’s.
The organization has strived to remain independent, rejecting multiple bids from private equity firms. As a mid-size group, Cardiology Associates has sound finances and capital to stay independent.
Philadelphia-based Atria Health strikes the balance between private equity influence and cardiologist independence. The company, backed by private equity, partnered with Horsham, Pa.-based AMS Cardiology, a 40-year-old cardiovascular practice that includes 19 cardiologists and six nurse practitioners.
The partnership led to the opening of a new ASC for low-risk outpatient cardiac procedures and was the first in Pennsylvania to perform a coronary angioplasty with stent placement.
Private equity is not going anywhere in the cardiology industry, with different models, applications and approaches to PE in cardiology continuing to emerge.
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