Frontier Healthcare Holdings, which manages 15 ambulatory surgery centers in New York and New Jersey, is selling its minority ownership stakes in 10 New York surgery centers to Physicians Endoscopy, according to certificate-of-need applications filed with the state Department of Health. It appears as if the two sides are headed toward a merger or acquisition, though Crain's could not confirm that with either side.
Ambulatory surgery centers are an alternative to hospital-based outpatient surgery, performing procedures that allow patients to go home on the same day as the procedure. An ambulatory surgery center staffed by gastroenterologists performs procedures including colonoscopies and endoscopies.
Physicians Endoscopy, based in Jamison, Pa., manages more than 40 freestanding, single-specialty endoscopic surgery centers in 14 states, including nine centers in New York. The pending deals would more than double the company's presence in the state. In each of the company's 10 applications, Physicians Endoscopy executives are requesting state approval to become members of Frontier Healthcare Associates LLC, which controls small stakes in the 10 centers.
article continues below advertisementFrontier's ownership stakes range from 0.67% to 8%. Frontier partners with physician-owned surgery centers, providing administrative services while taking small-equity stakes in the centers. It has the largest portfolio of gastroenterology ASCs in the state, and its centers perform more than 100,000 procedures a year, Roy Bejarano, president of Frontier Healthcare, said in June.
The price of the ownership stakes were not disclosed. Bejarano will no longer be a managing member of the entity that owns a minority stake in the centers, according to the filings. He declined to comment. A spokeswoman for Physicians Endoscopy did not respond to a request for comment.
The 10 centers involved in the deal are South Brooklyn Endoscopy Center in Brooklyn; Manhattan Endoscopy, The Endoscopy Center of New York, and West Side GI in Manhattan; Flushing Endoscopy, Queens Endoscopy and Queens Boulevard Endoscopy Center in Queens; Advanced Surgery Center of Long Island and Great South Bay Endoscopy in Suffolk County; and Putnam GI in Putnam County.
Frontier Healthcare Holdings, which manages 15 ambulatory surgery centers in New York and New Jersey, is selling its minority ownership stakes in 10 New York surgery centers to Physicians Endoscopy, according to certificate-of-need applications filed with the state Department of Health. It appears as if the two sides are headed toward a merger or acquisition, though Crain's could not confirm that with either side.
Ambulatory surgery centers are an alternative to hospital-based outpatient surgery, performing procedures that allow patients to go home on the same day as the procedure. An ambulatory surgery center staffed by gastroenterologists performs procedures including colonoscopies and endoscopies.
Physicians Endoscopy, based in Jamison, Pa., manages more than 40 freestanding, single-specialty endoscopic surgery centers in 14 states, including nine centers in New York. The pending deals would more than double the company's presence in the state. In each of the company's 10 applications, Physicians Endoscopy executives are requesting state approval to become members of Frontier Healthcare Associates LLC, which controls small stakes in the 10 centers.
Frontier's ownership stakes range from 0.67% to 8%. Frontier partners with physician-owned surgery centers, providing administrative services while taking small-equity stakes in the centers. It has the largest portfolio of gastroenterology ASCs in the state, and its centers perform more than 100,000 procedures a year, Roy Bejarano, president of Frontier Healthcare, said in June.
The price of the ownership stakes were not disclosed. Bejarano will no longer be a managing member of the entity that owns a minority stake in the centers, according to the filings. He declined to comment. A spokeswoman for Physicians Endoscopy did not respond to a request for comment.
The 10 centers involved in the deal are South Brooklyn Endoscopy Center in Brooklyn; Manhattan Endoscopy, The Endoscopy Center of New York, and West Side GI in Manhattan; Flushing Endoscopy, Queens Endoscopy and Queens Boulevard Endoscopy Center in Queens; Advanced Surgery Center of Long Island and Great South Bay Endoscopy in Suffolk County; and Putnam GI in Putnam County.
Brought to you by Crain's New York Business, Health Pulse is a subscription-only website focused on the business of health care. The site is updated every day with breaking news, research and unique information. Subscribe today and receive access to the site and the daily emails. Plus, twice a week we release a special report called Extra, featuring data and statistics.
Our editors found this article on this site using Google and regenerated it for our readers.
