Cardiology is undergoing rapid consolidation, fueled by growing private equity interest and structural changes in physician employment.
Here are eight key numbers that illustrate the pace and scope of this shift:
1. The number of PE-backed cardiology platforms has more than doubled since 2022, according to a 2024 report from KPMG Corporate Finance. These platforms now operate in nearly 20 states, with particularly heavy activity in Florida and Texas.
2. According to a 2024 study published in JAMA Health Forum, PE acquisitions of cardiology practices have surged from one platform with seven locations in 2019 to 50 platforms with 320 locations by 2023. These represent 3.9% (332 of 8,223) of all cardiology practices in the U.S.
3. PE-acquired cardiology practices are now present in 22 states. The top three states by number of locations:
- Florida: 80 practices
- Texas: 76 practices
- Arizona: 29 practices
4. In seven states, PE-backed practices make up more than 10% of all cardiology groups, according to the study:
- Rhode Island: 37.1% (13 of 35)
- Nevada: 26.4% (14 of 53)
- Louisiana: 23.6% (21 of 89)
- Arizona: 17.6% (29 of 165)
- Oklahoma: 15.9% (13 of 82)
- Texas: 11.3% (76 of 675)
- Florida: 10.0% (80 of 798)
5. The pace of consolidation has accelerated rapidly. A staggering 70% of all cardiology PE deals since 2019 occurred in 2023 alone.
6. According to a 2024 survey from MedAxiom, nearly 50% of all private cardiology practices are now part of a PE portfolio.
7. Cardiovascular Associates of America and US Heart & Vascular are the two largest PE-backed cardiology platforms in the U.S. The platforms are backed by Webster Equity Partners and Ares Management, respectively. Both platforms were founded in 2021.
8. Beyond PE, health systems dominate cardiology employment. Over 70% of cardiologists are now employed by hospitals or large systems, according to the American College of Cardiology.
