Nashville, Tenn.-based Envision Healthcare, an ASC operator and physician services company, has filed Chapter 11 bankruptcy and recently announced it will lay off 329 employees.
The organization is said to have high labor costs and $7 billion in debt, and it missed a March 31 quarterly reporting deadline and skipped an April interest payment.
In light of this, Envision reached a restructuring agreement with its stakeholders, including AmSurg, which plans to buy all of Envision's ASCs for $300 million plus a waiver of loans.
Below is a timeline of events leading up to and following Envision's bankruptcy filing from the past year:
May 2022:
- Envision intends to continue operations, but the company plans to layoff 329 employees.
- Envision files for Chapter 11 bankruptcy.
- Following plans to file for Chapter 11 bankruptcy, Envision Healthcare reaches a restructuring agreement with its stakeholders.
December 2022:
Milwaukee-based American Academy of Emergency Medicine Physician Group sues Envision Healthcare, alleging the company uses shell business structures to retain de facto ownership of emergency room staffing groups. The group affirmed recently it is upholding the lawsuit.
August 2022:
Envision's revenue falls again in the second quarter of the year. The losses persisted despite the fact that AmSurg generated roughly $55 million in earnings
May 2022:
- Envision Healthcare claims UnitedHealth Group is forcing physician groups out of the network in an effort to recruit them to its subsidiary Optum.
- Envision Healthcare moved AmSurg, which made up around half of the physician staffing firm's earnings last year, to a new affiliate.
April 2022:
Envision Healthcare adds Charles McRae to its leadership team as service line executive for anesthesia.