Here are five major deals that have shook up the gastroenterology industry since 2020:
1. In 2020, private equity firm Webster Equity Partners established One GI through a partnership with Gastro One. The Brentwood, Tenn.-based company now supports 195 physicians in 65 locations.
2. In 2021, Miami-based Gastro Health was sold to private equity company Omers. The enterprise value was estimated around $950 million, according to a 2022 report from VMG Health. The company was previously owned by Audax Private Equity, which acquired Gastro Health in 2016.
3. In 2022, Southlake, Texas-based GI Alliance and ASC giant United Surgical Partners International inked a joint venture deal for two Texas endoscopy centers. The partnership includes GAB Endoscopy Center in San Antonio and South Plains Endoscopy Center in Lubbock. Both are co-owned by GI Alliance’s physician partners.
4. In 2022, GI Alliance received a $785 million private equity investment from Apollo Global Management, which agreed to take a stake in the company as a part of a physician-led buyout. Through the deal, GI Alliance’s physician owners agreed to buy back a minority equity stake of about 30 percent from Waud Capital Partners, the practice’s private equity investor. According to a report from Bloomberg, the deal gives GI Alliance and physicians more autonomy, putting them in majority control over the board.
5. This year, GI Alliance entered a definitive agreement with Dublin, Ohio-based pharmaceutical distributor and healthcare services company Cardinal Health in which Cardinal will acquire a majority stake in GI Alliance. The acquisition marks Cardinal Health’s first venture into gastroenterology.
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