The Growth Of Private Equity Investment In Health Care: Perspectives From Ophthalmology

Abstract

The growth of private equity investment in health care has dramatically changed the landscape of health care delivery over the past decade. Private equity firms are rapidly acquiring physician practices, with ophthalmology practices being one of the most frequently acquired types. We present perspectives from thirty-five semistructured interviews conducted with a wide range of knowledgeable people on private equity investment in physician practices, with a specific focus on ophthalmology. Acquisition by a private equity firm can be an attractive option for physicians, particularly older ones. However, interviewees had starkly conflicting perspectives on the likely impact of private equity acquisitions on the cost, quality, and use of medical care.

Keywords: Access and use; Access to care; Costs and spending; Drug use; Health care consolidation; Health policy; Markets; Medicine; Ophthalmology; Organization of care; Pharmaceuticals; Physician practices; Physicians; Private equity acquisition; Private equity investment; Quality Of Care; Surgery.