Becker's Spine Review has reported on several orthopedic practice mergers and acquisitions, with some particularly interesting deals closing at the beginning and end of the year.
Following is a breakdown of five of the most interesting transactions in 2020 and what they mean for the field:
Editor's note: Transactions are listed in the order that they were reported, beginning with the most recent.
1. Transaction: Nashville-based Tennessee Orthopaedic Alliance, Knoxville-based Tennessee Orthopaedic Clinics and Columbia-based Mid-Tennessee Bone & Joint Clinic agreed in August to merge into a single group.
What it means: The practices will become a combined 104-physician group with more than 27 locations in January 2021. They will share clinical data, best practices and expertise. More than 800 employees will work across the new group, with each practice retaining their name and staffing levels. The merger could result in operational and clinical improvements and allows for additional innovation for cost-effective care. Earl Anderson, CEO of Tennessee Orthopaedic Clinics expanded on the merger on the Becker's ASC Podcast.
2. Transaction: Fort Collins, Colo.-based Orthopaedic & Spine Center of the Rockies and Longmont, Colo.-based Front Range Orthopedics & Spine merged in October.
What it means: The combined group, under the Orthopaedic & Spine Center of the Rockies umbrella, has three ASCs and more than 85 providers, including 45 physicians. The partnership includes full business and clinical integration and aims to improve value-based care initiatives in the region.
3. Transaction: Des Plaines-based Illinois Bone & Joint Institute embarked on an M&A spree this year, including a merger with Hinsdale (Ill.) Orthopaedic Associates.
What it means: Consolidation has been a big part of IBJI's expansion strategy in 2020. Hinsdale Orthopaedic Associates, a 31-physician group with eight locations, partnered with IBJI in April. The 100-plus physician group has acquired four orthopedic practices this year: Chicago-based Northwest Orthopaedics & Sports Medicine; Bradley, Ill.-based Oak Orthopedics; Chicago Orthopaedics & Sports Medicine; and Park Ridge, Ill.-based Orthopaedic Surgery Specialists.
4. Transaction: Tampa-based Florida Orthopaedic Institute merged with Clearwater, Fla.-based OrthoCare Florida in March.
What it means: The merged entity has become the biggest orthopedic group in Florida, with 150 providers and 17 locations across the Tampa Bay area. The group has eight affiliated ASCs and two orthopedic urgent care centers and aims to continue growth in the state.
5. Transaction: Orlando (Fla.) Health acquired Jewett Orthopaedic Clinic for an undisclosed sum in January.
What it means: Jewett's 25 orthopedic physicians and 13 advanced practitioners became Orlando Health employees after the deal closed. The health system is building a $250 million orthopedic facility, dubbed Orlando Health Jewett Orthopedic Hospital, that will feature 12 outpatient operating rooms and up to 75 beds. It is expected to open in 2023.