Geographical trends in GI practice acquisitions reveal that Florida and Texas had the highest number of deals, primarily driven by Gastrohealth and GI Alliance. These two states accounted for over 50% of all deals. Other notable states included Pennsylvania and Tennessee. The largest PE-backed GI groups were the primary buyers, with Gastrohealth leading at 31 deals. Most transactions involved group practices with multiple locations. Four deals disclosed terms, averaging $250 million. There is a trend towards fewer intrastate and more interstate deals among top buyers.
Author: Abhay Panchal
Steward Health filed for bankruptcy in May 2024, leading to criticism of private equity’s role in healthcare. Owned by Cerberus from 2021 to 2020, the system’s failure has prompted calls to limit private equity involvement. Private equity firms buy, improve, and sell struggling businesses, leveraging managerial expertise and innovation. Critics worry about price gouging and reduced care quality, but market forces discourage these behaviors. While private equity’s role is debated, some argue it spurs innovation and efficiency. Could curbing private equity hinder necessary competition in healthcare?
The June 2024 Gastroenterology Month in Review highlights key developments in the field, including the FDA approval of risankizumab-rzaa (Skyrizi) for ulcerative colitis, phase 3 data for mirikizumab in Crohn’s disease, and positive results for guselkumab in Crohn’s disease. Additionally, the latest edition of Qazi Corner covers topics such as bariatric surgery in liver disease and cuffitis outcomes. These updates underscore ongoing advancements and research in gastroenterology.
Medicare Advantage insurers, like UnitedHealth, have been found to add questionable and often false diagnoses to patient records to increase payments from Medicare. These diagnoses, such as diabetic cataracts, were frequently not supported by patients’ medical histories and resulted in billions of dollars in extra costs. The Wall Street Journal’s investigation highlighted that many patients were unaware of these diagnoses, which often contradicted their doctors’ records. This practice has raised concerns about the accuracy and ethics of the Medicare Advantage program. Could this lead to significant reforms in Medicare’s payment systems?
In 2024, numerous new gastroenterology centers have opened across various states. Highlights include Arizona Digestive Health’s new clinic in Tucson, Denver Digestive Health Specialists’ new facility in Colorado, and U.S. Digestive Health’s new center in Pennsylvania.
Geneoscopy’s ColoSense™, a noninvasive multi-target stool RNA (mt-sRNA) test, has been validated in a peer-reviewed study published in The Journal of Molecular Diagnostics. This FDA-approved test demonstrated high stability, precision, and reproducibility, achieving 93% sensitivity for colorectal cancer (CRC) and 45% for advanced adenomas (AAs) in average-risk individuals aged 45 and older. The study’s findings highlight ColoSense as a reliable alternative to traditional invasive methods, potentially transforming CRC screening practices. Could this innovation mark a new era in noninvasive cancer diagnostics?
The article discusses recent trials for colorectal cancer (CRC) screening, noting that while adherence to guidelines is generally good, there is still room for improvement. These trials highlight the importance of following established protocols to ensure effective screening and early detection. The article calls for enhancements in screening processes to improve patient outcomes. What specific improvements could further optimize CRC screening and patient care?
The Medicare Physician Fee Schedule for 2025 proposes a 2.8% cut in physician payment rates, a move criticized by major medical organizations like the AMA and MGMA. Despite this, the proposal aims to strengthen primary care, expand behavioral and oral health services, and maintain telehealth flexibilities. It also includes new measures for colorectal cancer screenings and hepatitis B vaccinations. The cut is seen as detrimental to physicians, especially those in rural areas, prompting calls for legislative action to ensure fair reimbursement.
Blue Shield of California’s Wellvolution platform has added four new programs focusing on gut health and weight loss: Ciba Health, Digbi Health, Wondr Health, and an expansion of DarioHealth. Launched in 2019, Wellvolution has helped over 355,000 members lose more than 272,000 pounds through personalized health coaching and digital tools. These new programs offer innovative approaches such as gut microbiome testing and behavioral analysis to tackle chronic diseases like diabetes and obesity. Could these additions be the key to transforming chronic disease management?
This Gastro Bites session is your exclusive opportunity to get insight and ask questions from the authors of the recent AGA Clinical Practice Guideline on Fecal Microbiota-Based Therapies for Select Gastrointestinal Diseases — the first comprehensive guideline on the use of fecal microbiota-based therapies in GI diseases.