Watchdog Warns Private Equity’s Growing Healthcare Stake Risks Patient Care
A watchdog group, Private Equity Stakeholder Project (PESP), has released a report highlighting over 500 joint ventures between private equity firms and non-profit healthcare providers. PESP asserts that these arrangements pose significant risks to patients, payers, and employees, potentially leading to profit extraction and a decline in care quality. The report details how these partnerships operate and includes case studies suggesting private equity investments can alter the nature of non-profit healthcare, prompting calls for increased government oversight to ensure these ventures uphold their charitable missions.
John Q. Hosedrinker