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?
Is Private Equity A Villain In Healthcare? (Forbes)
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