St. Louis-based Ascension has completed its acquisition of ambulatory surgery center operator AmSurg, expanding its footprint to 300 ASCs nationwide.
The deal, valued at about $3.9 billion, marks a significant step in Ascension’s strategy to expand outpatient services and respond to the ongoing shift of procedures away from hospitals and into lower-cost community settings. As a condition of FTC approval, six divested AmSurg facilities are being picked up by Optum subsidiary SC Affiliates, adding to UnitedHealth’s already sizable ASC network.
“Healthcare is increasingly moving beyond the traditional hospital setting, and this acquisition positions us to lead that transformation,” Eduardo Conrado, president and CEO of Ascension, said in a June 4 news release. “By expanding our ambulatory surgery capabilities, we are making care more accessible, convenient, and affordable for patients, while ensuring our hospitals remain focused on highly specialized acute care.”
Nashville, Tenn.-based AmSurg operates more than 250 ASCs across 34 states and has spent more than three decades developing, managing and operating surgery centers through physician partnerships.
The acquisition significantly expands Ascension’s outpatient network and strengthens its presence in one of healthcare’s fastest-growing sectors. Health systems nationwide have increasingly invested in ASCs as payers and patients seek lower-cost care sites and advances in surgical technology enable more procedures to be performed outside the hospital.
Jeff Snodgrass, president and CEO of AmSurg, said joining Ascension will strengthen the organization’s ability to expand access to outpatient care.
“This is an important step forward for AmSurg,” Mr. Snodgrass said. “Joining Ascension strengthens our ability to deliver high-quality care and expand access for the communities we serve.”
The transaction closed two days after the Federal Trade Commission approved the acquisition with conditions. As previously reported by Becker’s, Ascension agreed to divest seven AmSurg facilities in four states to address the agency’s competitive concerns.
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