Iasis Healthcare: Hospital Owner and Operator
We often look at hospitals as places where we can get cured. Yet hospitals are also business establishments and the level of owner sophistication is quite high- investment and private equity firms own hospitals. The investment firm Joseph Littlejohn & Levy, in 1998, bought ten hospitals from Tenet Healthcare and five hospitals from Paracelsus Health Corp and formed Iasis Healthcare.
Private equity firm, Texas Pacific came into the picture in 2004 by acquiring Iasis Healthcare. Texas Pacific currently owns the largest share in the company. Iasis Healthcare’s for profit hospitals are mid-range in size with 100 to 250 beds. The firm owns and operates 18 general, acute-care hospitals; one behavioral hospital, and three ambulatory surgery centers in Arizona, Colorado, Florida, Louisiana, Nevada, Texas and Utah.
Iasis Healthcare operates several outpatient facilities as well and other centers offering ancillary services like radiation therapy and diagnostic imagining. Its Health Choice subsidiary is a Medicaid and Medicare managed health plan that serves around 200,000 individuals in Arizona and Utah.