Becker's ASC Review

33 TRANSACTIONS Steindler Orthopedic sells $11M Iowa medical office building By Patsy Newitt S teindler Orthopedic Clinic has sold the building housing its clinic in Iowa City, Iowa, for $11 million, Corridor Business Journal reported April 29. The 33,843-square-foot building was sold to medical real estate firm Crown MedRealty Partners. The clinic recently secured a certificate of need to build a $19.2 million 35,880-square- foot ASC. According to the clinic's president and CEO Patrick Magallanes, the sale of the building will pave the way for expansion. n Optum's multibillion-dollar acquisition spree: 3 deals to know By Patsy Newitt H ealthcare giant Optum, which owns and operates Deerfield, Ill.-based ASC management company Surgical Care Affiliates, is on an acquisition spree. e company has made three multimillion- dollar deals in 2022. In the first quarter, the company har- nessed the growth of Optum Health, its physician and ASC-focused division. Op- tum Health's revenue per customer served was up 33 percent year over year in the first quarter as it added more members to its value-based care arrangements. Optum also is attempting to acquire Change Healthcare, a data analytics firm, but the federal government sued to stop the $13 billion transaction. e outcome will be decided aer a two-week trial in August. Here are three deals Optum has made since Jan. 1: 1. Optum received clearance to buy the 30-location independent physician orga- nization Atrius Health. With the approval of the Massachusetts attorney general's office, Optum plans to pay $236 million for Auburndale, Mass.-based health sys- tem, which includes 645 physicians and primary care providers. Optum originally proposed to pay $73 million for the physician organization, but upped the price 223 percent so Atrius could continue its charitable mission after the deal closes. 2. UnitedHealth Group, Optum's parent company, acquired home healthcare busi- ness LHC Group for $5.4 billion, CNBC reported March 29. Lafayette, La.-based LHC Group offers in-home health and hospice care from 964 locations in 37 states. Through the terms of the deal, expected to close later this year, Optum will pay $170 in cash for each share of LHC's stock. 3. Optum reportedly purchased Jackson- ville Beach, Fla.-based Refresh Mental Health from private equity firm Kelso & Co. Refresh Mental Health has a network of more than 300 outpatient sites in 37 states with more than 1,500 employees. While financial terms have not been disclosed, Kelso & Co. bought Refresh Mental Health in December 2020 for about $700 million. n HCA dives deeper into urgent care market By Alan Condon N ashville, Tenn.-based HCA Healthcare plans to acquire Bet- terMed, a Fredericksburg, Va.-based chain of 12 outpatient urgent care centers, Richmond BizSense reported April 28. BetterMed's has eight urgent care facilities in Central Virginia, two in Fredericksburg and two in North Carolina. Terms of the deal, such as leadership changes and whether BetterMed will continue to operate under its own brand, have yet to be finalized, according to the report. The acquisition, which is expected to be finalized this summer, would push HCA further into the urgent care market as healthcare continues to move toward the ambulatory environment. HCA capped 2021 by completing its acquisition of MD Now Urgent Care, Florida's largest network of urgent care centers. The deal added 59 clinics to HCA's portfolio, which now includes 170 urgent care facili- ties across 19 markets. "The addition of MD Now Urgent Care in Florida enhances our already strong capabilities in a rapidly growing state by providing convenient outpatient care options for our patients," Sam Hazen, HCA's CEO, said Jan. 4. "It also connects MD Now patients to a comprehensive state- wide network of care, including acute care and specialty services should they be needed. " n

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